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Julius Baer profit jumps 128% on strong inflows, but de-risking impact persists

Created at 21 Jul · 8:00 AM3 sources↑ Market-relevant3 events
IN SHORT

Swiss private bank Julius Baer reported a 128% year-over-year increase in first-half net profit to 673 million Swiss francs, driven by 5.7 billion Swiss francs in net new money inflows. However, the bank anticipates its de-risking strategy will continue to impact operations until 2027.

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Key Numbers

673 million francsfirst-half net profit
128%year-over-year profit increase
5.7 billion Swiss francsnet new money in first half
2.2%annualized net new money growth
4%-5%net new money growth target by 2028
2027expected persistence of de-risking impact

Who's Involved

Julius Baer
Swiss private bank reporting financial results
Stefan Bollinger
CEO of Julius Baer
Peter Burrill
Incoming Chief Financial Officer of Julius Baer

↳ Why This Matters

Julius Baer's strong profit and inflow figures signal a potential recovery in wealth management, but the ongoing impact of its de-risking strategy highlights the challenges of balancing growth with regulatory compliance.

Key facts

  • Julius Baer's net profit for the first half of 2026 rose 128% year-over-year to 673 million Swiss francs.
  • Net new money inflows reached 5.7 billion Swiss francs in the first six months of the year.
  • The bank expects its de-risking strategy to continue affecting operations until 2027.
  • Julius Baer aims for 4%-5% net new money growth by 2028.
  • A new CFO is set to be appointed as part of a management overhaul.

Swiss private bank Julius Baer reported a significant increase in net profit for the first half of the year, reaching 673 million Swiss francs, a 128% rise from the previous year which was impacted by loan loss provisions. The bank also announced that net new money for the period amounted to 5.7 billion Swiss francs, surpassing expectations and indicating a recovery after a slow start to the year.

Despite the positive financial results, Julius Baer stated that the implementation of its revised risk and compliance framework continues to affect its progress. The bank warned that the impact of its de-risking strategy is likely to persist into 2027. However, it reaffirmed its commitment to a net new money growth target of 4%-5% by 2028.

In terms of leadership, the bank is nearing the completion of a management overhaul with the upcoming appointment of Peter Burrill as its new chief financial officer in August, subject to regulatory approval. CEO Stefan Bollinger expressed confidence in the bank's current setup, noting progress in establishing the 'second line' of defense.

Frequently asked questions

Julius Baer's net profit for the first half of 2026 was 673 million Swiss francs, a 128% increase from the previous year.

The bank attracted 5.7 billion Swiss francs in net new money during the first six months of the year, representing an annualized growth of 2.2%.

The bank warned that the impact of its de-risking strategy is likely to persist into 2027.

The bank confirmed its target for net new money growth of 4%-5% by 2028.

What Happens Next

01The bank's de-risking impact is expected to persist into 2027.
02Peter Burrill's appointment as CFO is subject to regulatory approval.

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How It Developed

Julius Baer's new risk framework impacts its wealth management business.
Berenberg announces changes following executive suspensions.
Julius Baer's net profit for the first half of 2026 reached 673 million Swiss francs, a 128% increase year-over-year.
Net new money for the first six months of the year was 5.7 billion Swiss francs, representing an annualized growth of 2.2%.
The bank anticipates the impact of its de-risking strategy to continue until 2027.
Julius Baer reaffirmed its target for net new money growth of 4%-5% by 2028.
The bank completed a top management overhaul with the upcoming appointment of a new CFO.

Sources

T1
Julius Baer’s new risk framework continues to weigh on wealth giantFinancial News London
T1
Berenberg promises change after execs suspended over corporate governance issuesFinancial News London
T1
Will banks’ trading boom run out of steam?Financial News London
T2
Julius Baer beats net new money forecast, says de-risking impact to ...live.euronext.com

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