A Swiss private bank with 175 years of banking experience is giving it a go in Zurich. It aims to return a profit from its operations in the German-speaking region of Switzerland as soon as by the end of 2022.
Zurich will be the third Swiss branch of private bank Gonet, alongside its two main offices in its heartland of Geneva and Lausanne. Gonet appointed Stephan Keiser (see below) as head of its new branch. Keiser, who will take up his new position in February 2021, in the past was active at EFG and Banque Cramer.
Keiser will have a staff of about half a dozen, to begin with. Gonet, which celebrated its 175 years anniversary this year, aims to double its staff in Zurich within a year and to expand further as opportunities arise. The new offices of Gonet will be at Tessinerplatz.
Nicolas Gonet, CEO and member of the fifth family generation leading the business, told finews.com: «Zurich is a strong center for international private banking, with marked access to fast-growing foreign markets and a dynamism that is no longer to be proven. Anyone with ambitions in Swiss wealth management should be there.»
Mr. Gonet, what has triggered your decision for expanding to Zurich?
We want to grow by strengthening our foothold in Switzerland rather than abroad. In this context, Zurich is a key location that provides access to international markets with high potential. We have considered several takeovers in recent years, but in the end, we are now opening our own business, as we have found the right people who share our entrepreneurial spirit and have a strong local experience.
Isn't it a rather difficult time for such an expansion?
We have taken our time to find the right opportunity, so when it comes up, we take it. Difficult times are very often times that reveal opportunities.
What are your target customers in Zurich?
Initially, we are targeting international UHNWI clients that are demanding Swiss expertise, and in the medium term, we will also offer our services to local residents. We are aware that there is already a large offer in this market. We will take the necessary time to establish ourselves and offer ourselves as an alternative, as in French-speaking Switzerland. 40 percent of our clientele is domestic, so we have adequate know-how.
What is Gonet's unique selling point as it tries to win customers in German-speaking Switzerland?
The same that has made us successful in French-speaking Switzerland. We are a pure player, independent, with a size that allows us to concentrate on the clients. In addition, the bank is celebrating its 175th anniversary this year, this shows strong commitment and convictions.
What quantitative goals have you set for the Zurich business?
What matters above all is that our entity works well as quickly as possible and that clients are satisfied. Beyond that, we expect that our Zurich office will employ a dozen people by the end of 2021. We are already in contact with private bankers who are interested in our entrepreneurial business model.
When do you expect to be profitable in German-speaking Switzerland?
Stephen Keiser and I are confident that we will reach break-even by the end of 2022 at the latest.
Will you, Mr. Gonet, come to Zurich more frequently?
I will be there as often as necessary if it can contribute in one way or another to business development. I meet clients every day. As far as the day-to-day management of the branch is concerned, it is in very good hands.
All in all, how did Gonet's business develop this year?
Given the exceptional circumstances that we all are facing this year, I consider it to be rather positive. We are in the middle of an investment cycle and will reap the benefits within a reasonable timeframe.
How did you deal with the impact of the corona pandemic?
On an operational level, the shock has enabled us to show that our organization is both very solid and very agile. Our BCM system, which we have been testing regularly and for several years, has allowed us to operate very quickly and smoothly with more than 50 percent of employees in teleworking. It is also a tremendous accelerator for our various digitalization projects.
Gonet & Cie goes back to the year 1845. It offers global private-banking services to Swiss and international clients. It has 130 members of staff, manages some 5 billion Swiss francs in client assets, and has offices in Geneva, Lausanne, Zurich, and Nassau.
