The Swiss private bank's recent changes have helped improve profits and increase assets under management.
Zurich-based EFG International increased its profit by almost 80 percent to 205.8 million Swiss francs ($225 million) in 2021, while assets under management grew 8 percent to 172 billion francs, it said in a statement Wednesday.
Net profit was supported by a contribution from EFG’s legacy life insurance portfolio, including a significant positive impact from the settlement with Transamerica, it said.
New money inflows amounted to 8.8 billion francs, corresponding to an increase of 5.5 percent compared to the previous year.
The bank plans to pay a dividend of 36 cents per share, which represents 20 percent increase from 2020.
Fundamental changes
EFG has undergone fundamental changes in recent years, including the closure of its booking center on the island of Guernsey and abandoning its branch in Milan, along with the sale of its business in southern Switzerland to the Cantonal Bank of Ticino (Banca Stato).
«Our capital-light business model supports growth and generates excess capital to the benefit of our shareholders. We have executed our strategy consistently and have become a leaner, more agile and more scalable organization with a lower cost base.» EFG CEO Giorgio Pradelli, said.
Headcount
EFG, which at the beginning of the year had just under 3,000 full-time staff, plans to add to its workforce this year.
