Geneva's Edmond de Rothschild is investing in shifting its business model. The move paid off in the first half in higher profits.
Swiss private bank Edmond de Rothschild's profit climbed to 104 million Swiss francs ($107.2 million), the Swiss private bank said in a statement on Friday. The rise follows the decision to offload prime office space, which flushed 60 million francs into Rothschild's coffers.
Rothschild's revenue also grew by 13 percent to 76.3 million. Including Edram Suisse, which it fully acquired last year, the bank's revenue climbed by 28 percent. Managed assets rose by 2 billion francs to 139 billion, including the activities of property firm Cording.
Looser Balance Sheet
Edmond de Rothschild said the rise in revenue is mainly due to an adapted offering in private banking: the bank recently began more freely granting credit and using its ample balance sheet to win business. Its liquidity ratio stood at 27.4 percent.
The bank didn't disclose its spending. Edmond de Rothschild recently invested in the integration of its platforms. The IT systems of its subsidiaries in Luxembourg, Belgium, Spain, Portugal, and the U.K. have now all been migrated to the bank's Swiss platform, Edmond de Rothschild said.
