The cantonal bank of Zug delivered a solid first-half earnings report, with profit climbing almost 10 percent on the year, and managed assets up 5.6 percent to 12 billion Swiss francs. It cautioned though that the next six months would be tougher.
The Zuger Kantonalbank has now completed its transformation from a transaction to an advisory orientated business model, according to a statement Tuesday from ZGKB head Pascal Niquille.
Profit in the six months through June rose 9.5 percent on the year to 34.2 million francs, while total assets reached 14.8 billion francs, it said. The main drivers for the improved profit were higher yields from its commissions and services sector, while it also reported a positive interest-rate business.
Base Effect In Half-Year
«With the new advisory mandate introduced 12 months ago the Zuger Kantonalbank has completed the conversion from a transaction- to an advisory-orientated business model», said Niquille. This has resulted in a basis effect when comparing half-year results.
Managed assets in the first half rose by 634.1 millionen francs to reach 11.9 billion francs by the end of June 2018. Trading profit in the period was little changed from a year earlier at 8.7 million francs.
