The cantonal bank of Geneva had a smaller first-half profit after it spent more to better defend its systems against cyber criminals.
Banque Cantonale de Genève (BCGE), the cantonal of Geneva known for its swift business, suffered a set-back in the first six months of the year. Net income declined 5.6 percent to 42.7 million Swiss francs in the first half, the institute reported today.
The decline in profitability came even as business was brisk enough: mortgage loans increased 2 percent to 10.2 billion francs and assets under management added 3.6 percent, reaching 22.5 billion.
Investments in Technology
However, costs also rose. They increased 3.5 percent to 109 million francs, according to the report. The main drivers were the development of new products and substantial technology adaptions, the bank said. BCGE had to up its guards against cyber criminals after an extortion attempt in January 2015.
Other banks have also suffered similar attacks since.
Digital Banking
BCGE also works hard to get the bank ready for the digital world, which in a first step leads to higher investments.
