UBP reaches CHF128.4bn AUM in H1 2018
Swiss financial group Union Bancaire Privee (UBP) announced net new money during the first half of 2018, which amounted to CHF2.7bn, leading to total assets under management reaching CHF128.4bn at the end of June 2018, compared with CHF125.3bn at the end of December 2017. This was a result of inflows from both private and institutional clients, particularly in Asia and Europe.
Operating revenues grew by 6.0%, rising from CHF 509.6m in the first half of 2017 to CHF540.0m at the end of June 2018. In a more volatile market environment, the decrease in brokerage fees, caused by fewer client transactions, was offset by a rise in management fees from assets managed in funds, as well as discretionary and advisory mandates, together now accounting for over 60% of assets under management.
Operating expenses of 341.0 million at the end of June 2018 were up slightly from CHF323.7m a year earlier. This increase was mainly the result of new hires in the first half of the year, as well as investments in IT and digital. The cost/income ratio of 63.1% continues to demonstrate that costs and margins are managed both efficiently and effectively.
The Tier 1 ratio, which rose to 28.2% at the end of June, remains well above the minimum requirements stipulated under Basel III and by the FINMA. The Bank’s solid financial base can also be seen in its excellent short-term liquidity ratio, which stands at 290.4%.