The cantonal bank of Zug had a successful first half-year despite geopolitical tensions, inflationary pressure and volatile financial markets.
Zuger Kantonalbank posted a 61.2 million Swiss franc operating profit, an increase of 11 percent compared to the same period the year before, it said in a statement (in German) Monday.
The bank's total assets increased by three percent during the period to over 18.7 billion francs, while new money inflows reached 721,1 million francs.
Base Effect
In January the bank changed its reserve allocation. This means going forward, reserves will not be expanded for general banking risks at the expense of profit, it said. It also means that the 43 percent increase in net profit compared with the first half of the previous year includes a significant base effect.
It now plans to allocate its reserves as part of the distribution of profits, it said.
