Rothschild Bank in Switzerland is in a transition phase as it rolls out changes to better address rising client demands. finews.com reports. 

Zurich-based Rothschild Bank has altered its financial year to align with the calendar year, and is reporting a faux full-year result of just nine months for 2017 as a result. The bank said in a statement it recorded a profit of 11.8 million Swiss francs in the nine-month period, finews.com has learned. 

A spokesman for the Swiss bank said that the comparable profit for 2016 would have been 7.5 million francs in theory. 

The private bank's assets rose 4.1 percent, or 569 million francs, against existing assets to 14.5 billion francs – a modest reading given last year's healthy stock markets. Rothschild actually lost 294 million francs in funds due to two major clients. The bank said it would have recorded inflows were it not for the "special situation".

Raft of Changes

In total, Rothschild manages or holds in custody 30.28 billion francs, from 27.44 billion francs year-ago. Top management under CEO Laurent Gagnebin can be sanguine about the situation: the bank rolled out several changes this year which promise to make the bank more competitive and relevant.

Rothschild Group opened a advisory subsidiary in Zurich last year, as finews.com  reported exclusively. The boutique, led by former J.P, Morgan Swiss corporate finance head Vincent Thiébaud, wants to offer mergers-and-acquisition and financing advice.

Mortgage Lending

Another notable change for Rothschild is that it will offer mortgage and other loans, in a bid to better cater to the needs of its wealthy clientele. The bank also moved into Rue de la Corraterie 6 in Geneva's banking district, and in Zurich merged its previous asset management unit into the bank. 

The bank promoted human resources boss Barbara Ursprung and Heinz Nesshold, responsible for international markets, into its top management under Gagnebin, who took over nearly two years ago. Nesshold replaces Thomas Pixner, since last month CEO of Bank am Bellevue, where former Rothschild bank boss Veit de Maddalena sits on the board. 

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