Profits Rise At Acquisition-Hungry J Safra Sarasin

Tom Burroughes

1 March 2018

, the Switzerland-headquartered private bank, has reported a 25.1 per cent year-on-year rise in net profit to SFr315.3 million ($334 million) for 2017, while assets under management rose 14.5 per cent last year to stand at SFr170 billion. The bank said it will also continue hunting for potential acquisitions, following a run of recent deals.

Operating income rose 13.3 per cent to SFr1.187 billion, from SFr1.047 billion a year before.

The group’s cost/income ratio narrowed to 54.8 per cent last year from 60 per cent a year earlier, with the bank saying its ratio is “one of the best in class in the private banking industry”.

At the end of last year, J Safra Sarasin Group boasted a Common Equity Tier 1 ratio – a measure of a bank’s core equity capital strength – of 28.8 per cent, “significantly” above regulatory requirements.

Among recent developments, the group said it has successfully integrated private banking teams from Credit Suisse in Gibraltar and Monaco. Separately, it recently announced its purchase of Bank Hapoalim businesses in Switzerland and Luxembourg.

“We are a leading consolidator in the private banking market, thanks to our flexibility, liquidity and capital strength. We will continue to evaluate opportunities globally which fit with our client focus and culture,” Jacob J Safra, chairman of J Safra Holdings International.