Business segment result

Operating income rose by over 19 percent to CHF 107.7 million. This substantially exceeded the expansion of operating expenses, which increased in line with strategic requirements. In interest business, the Private Banking segment benefitted from rising USD interest rates and the pleasing increase in loans to clients. Fee and commission income benefitted from more intensive client activities, new product and pricing models, as well as the expansion in client assets due to innovative investment advisory solutions. The expansion in personnel in client advisory services resulted in higher costs. The segment result before tax rose sharply by over 40 percent to CHF 45.5 million.

The Private Banking segment posted consistent net new money inflows in the domestic and growth markets. Both client assets under management and loans to clients increased. This resulted in an expansion of business volume by 8.5 percent to CHF 16.0 billion. In a challenging market environment, the gross margin rose by around seven basis points.