When Julius Baer acquired Commerzbank Luxembourg in 2015, the Zurich-based bank labeled the takeover strategic. Now it becomes clear what the bank meant.
Bank Julius Baer so far administered the accounts of its European clients from Frankfurt. This will change, according to a report by «Private Banking Magazin». Julius Baer will migrate the European clients to the accounting center in Luxembourg and manage their business from the principality come 2018.
The Zurich-based bank in December 2015 had bought Commerzbank International Luxembourg. The main reason behind the acquisition was the Temenos platform used by Commerzbank. Julius Baer in future intends to operate the core-banking system T24.
Frankfurt for Onshore Business Only
Through the acquisition of the international wealth management of Bank of America Merrill Lynch, Julius Baer received European clients from branches in Madrid, Amsterdam, Dublin and Luxembourg. The bank had administered those clients through its banking system in Germany starting in July 2013.
In 2018, this offshore business will be moved to Luxembourg. And Frankfurt will become a pure onshore platform for Julius Baer Germany.
