The former boss of Falcon Private Bank isn't wasting any time at the loss-making private bank he now helms. It will cut nearly one-quarter of its total workforce.
Four months after taking over at Ihag Privatbank, CEO Martin Keller is spearheading a restructuring and strategic renewal of the Zurich-based wealth manager. Ihag, which manages 3.14 billion Swiss francs ($3.42 billion), will cut as many as 20 jobs after its net loss last year widened to nearly 10 million francs, from 985,000 francs last year, according to a statement.
This marks the second overhaul in as many years for the Swiss private bank, founded in 1949 by Emil George Buehrle, a weapons manufacturer and noted art patron Ihag. Its struggle is emblematic of that of many minnow wealth managers without a distinguishing factor to peddle to clients.
Executive Changes
Keller, who ran Falcon Private Bank for the last three years until its Abu Dhabi owners elected to wind it down last year, wants to focus banking for entrepreneurs. As a result, Ihag will add a general counsel and risk chief – Andreas Mueller, previously Falcon's top lawyer – to its top management, from June.
Keller himself will take over Ihag's private banking division, while current wealth head Peter Rueegg will focus on strategic clients. Ihag is hiring Thomas Volland, also a former Falcon executive, as operating chief in the private banking arm.
From June, Ihag's top management will be comprised as follows:
- Martin Keller, CEO and head of private banking,
- Manuel Baechi, operating chief
- Andreas Mueller, general counsel and chief risk officer
- Peter Rueegg, head of strategic clients
Investment chief Marcel Joerger will leave top management at the end of next month, but still report to CEO Keller. Ihag is majority-owned by founder Buehrle's grandson, Gratian Anda, who owns 80 percent of Ihag's stock. Anda's cousin, Carol Franz-Buehrle, holds the remaining 20 percent.
