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Zurich, 9 May 2008 --- Julius Baer Group's business performance in
the first four months of 2008 was satisfactory given the continued
difficult market environment. While assets under management suffered
from the appreciation of the Swiss franc and negative market
performance, net new money was significant, with a sustained strong
contribution from Private Banking. The investment in future growth
continued successfully as reflected in the opening of new locations
and further key hirings. As a result of its exclusive focus on the
wealth management business, Julius Baer did not experience losses
related to the credit and liquidity crisis.
Unfavourable currency effects, mainly resulting from the
strengthening of the Swiss franc against US dollar, euro and pound
sterling, as well as weak equity markets led to declining levels of
assets under management in the course of the first four months of
2008. The Group's net new money was significant with a strong
contribution again from Private Banking.
The Group's revenue development remained satisfactory although fee
and commission income is beginning to show the effect of the lower
asset base. We continued to invest in the further expansion of our
franchise.
The Group also reaffirms its capital management policy of returning
excess capital to shareholders, as evidenced by the current buyback
programme, while maintaining the BIS Tier 1 ratio target of 12% under
Basel II.
Recent events
On 3 January 2008, Bank Julius Baer & Co. Ltd. opened a branch in
Verbier and on 19 March 2008 a representative office in Moscow.
On 12 February 2008, Julius Baer Holding Ltd. announced its intention
to IPO its US asset management business.
On 15 April 2008, the Ordinary Annual General Meeting of Julius Baer
Holding Ltd. approved the share capital reduction by cancelling
12'222'222 shares held by the Company, thus reducing the number of
registered shares to 211'034'256 effective at the end of June.
Shareholders also approved the share buyback programme for 2008-2010
for a maximum amount of CHF 2 billion which was launched on the
second trading line of SWX Europe on 21 April 2008. Details of the
progress of this buyback programme are available on the Julius Baer
website (www.juliusbaer.com) and on the website of the SWX Swiss
Exchange (www.swx.com).
Contacts:
Media Relations: Tel. +41 (0)58 888 5777
Investor Relations: Tel. +41 (0)58 888 5256
About Julius Baer
The Julius Baer Group is the leading dedicated wealth manager in
Switzerland. The Group, which has roots dating to the nineteenth
century, concentrates exclusively on private banking and asset
management for private and institutional clients. With some 4 000
employees worldwide, the Group managed assets in excess of CHF 400
billion at the end of 2007. The Julius Baer Group's global presence
comprises more than 30 locations in Europe, North America, Latin
America and Asia, including Zurich (head office), Buenos Aires,
Dubai, Frankfurt, Geneva, Hong Kong, London, Lugano, Milan, Moscow,
New York, Singapore and Tokyo. Bank Julius Baer and GAM, a leading
global active asset manager, are the key companies of the Group. The
shares of Julius Baer Holding Ltd. are listed on the SWX Swiss
Exchange and form part of the Swiss Market Index SMI which comprises
the 20 largest and most liquid stocks.
For more information: www.juliusbaer.com
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Julius Baer Holding Ltd.
Bahnhofstrasse 36, P.O. Box Zurich
Switzerland
ISIN: CH0029758650; Index: SLCI, SMI, SMIEXP, SPI;
Listed: Main
Market in SWX Swiss Exchange;
