28/07/2009
Profits down at GAM Holding Ltd.
The future GAM Holding Ltd., which includes asset management activities from Julius Baer, including Private Label fund activities, has seen a fall in its adjusted pro forms profits of 66% in the first half in annualised terms, to CHF78m. The fall comes as assets have fallen from CHF215.4bn as of 30 June 2008 to GBP156.2bn as of the end of June. In the half, GAM Holding Ltd has undergone net redemptions of CHF0.5bn, compared with +CHF1.9bn in first half 2008, and -CHF24.5bn in second half 2008. For its part, the future Julius Baer Group Ltd. (which includes private banking, excluding Private Label fund activities) has seen its adjusted pro forms net profits fall by 13%, to CFH246m. The entity has attracted subscriptions from private clients totalling CHF4bn for the half, and has seen assets under management in the unit fall to a total of CHF142bn, from CHF148bn one year earlier. In first half, Julius Bart has undergone a 37% fall in its consolidated net profits, to CHF324m, comapred with the corresponding period of last year. Consolidated assets under management have risen 9% from the end of 2008 to a total of CHF299bn. Taking into account deposits which have risen by CHF68bn, total assets of clients total CHF367bn. Following its approval by an extraordinary general assembly on 30 June 2009, the separation of private banking and asset management activities as on course to be completed in the third quarter of this year, though it remains subject to the approval of regulatory authorities, Julius Baer points out.
