Swiss bank Julius Baer announces a 30% decline in net profit to 114 million francs in the first half of 2013. The result is attributable to extraordinary tax charges and adjustments on the wealth-management division of Merrill Lynch, acquired with a view to enhance the private banking business.
The tax payments are related to the recent tax settlement between Julius Beaer's country of residence, Switzerland, and the United Kingdom, and are estimated at 28 million francs (29,8 million dollars).
Adjusted operating expenses increased 23%, while operating profit increased 25% to $1,1 billion.
Since the end of 2012, assets under management have increased by 15%, reaching 218 billion francs, with a contribution from Merrill Lynch of approximately 24 billion. The bank recorded a net new liquidity inflow of CHF 3,4 billion.
