|
Banking In 2006, the Swiss Life Group posted a segment result of CHF 165 million in Banking. The repositioning of Banca del Gottardo was successfully completed.
The Banking segment result was primarily generated by Banca del Gottardo and represented an increase of CHF 56 million (51%) vis-à-vis the previous year.
Banca del Gottardo 2006 was a year of repositioning for Banca del Gottardo under largely new leadership. Under local accounting practices, the bank reported a consolidated net profit of CHF 97 million, which corresponded to an increase of 17% on the prior-year figure. The implementation of the new strategy meant that the accounts included significant special factors, but the overall impact on the net profit was neutral.
Net income was down 9% to CHF 447 million compared to the previous year. This decline is largely due to the sale of Dreieck Industrie Leasing and Banca del Gottardo (Monaco), two subsidiaries that were no longer part of core business activities.
Business expenses were reduced by 3% to CHF 325 million. Excluding special factors, the cost/income ratio remained at the previous year’s level of 65%.
The special factors mainly pertained to a net capital gain of CHF 72 million from the sale of companies which were no longer part of core business activities, in addition to costs, provisions and impairments of CHF 44 million related to strategic projects and CHF 24 million in provisions following a reassessment of credit and process risks. These figures also take tax effects into consideration.
Assets under management as at 31 December 2006 amounted to CHF 36 billion, down from CHF 39 billion at the end of 2005. This reduction is largely attributable to the sale of Banca del Gottardo (Monaco). Net new customer assets in the Private Banking division amounted to CHF 240 million. Including the custody business – which mainly consists of securities held for the Swiss Life Group – total assets under management at the end of 2006 amounted to CHF 89 billion, compared to CHF 77 billion at the end of 2005.
As planned, Banca del Gottardo repaid CHF 100 million in capital to Swiss Life Holding in the year under review. With a core capital ratio (BIS Tier 1) of 13% at the end of 2006 (2005: 12%), Banca del Gottardo is still adequately capitalised and has enough funds to implement its growth strategy.
This year Banca del Gottardo is celebrating its 50th anniversary and Swiss Life its 150th. To mark the occasion, the bank will be staging various events and actively sponsoring social and cultural events under the motto “50 Years – Looking Forward”.
More Information
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
