Banks Julius Baer sets new medium-term targets and continues to make savings
The Julius Baer Group has set itself new medium-term targets for the years 2026 to 2028. The private bank wants to return to profitable growth in its core business and is launching a further savings program, as it announced on Tuesday ahead of an investor day.
03.06.2025, 07:28
SDA
The bank aims to reduce costs by a total of CHF 130 million by 2028 as part of further efficiency measures. The expected expenditure for this is around 50 percent of this amount, it said.
The measures are in addition to a previously announced efficiency program. This was expected to generate gross savings of CHF 110 million by the end of 2025 and will now be exceeded by around CHF 20 million.
In the new strategy period, the bank is now also setting itself a target for net new money inflow again, having waived this target in previous strategy periods. It is now aiming for annual net new money growth of 4 to 5 percent per year until 2028.
In terms of the cost/income ratio, it is now aiming for a value of less than 67% on an adjusted basis. Previously, the target value was "below 64 percent". The adjusted return on core capital (RoCET1) should be at least 30% in the coming years and thus remains unchanged.
The Group's defined capital distribution policy remains unchanged, the statement continued. However, the Board of Directors will only consider launching a share buyback program in the future once the Group has received the necessary clarity from the Swiss Financial Market Supervisory Authority Finma. Finma is still conducting an investigation into the high credit losses resulting from the Signa bankruptcy.
Bank Julius Baer has had a new top management team this year. Stefan Bollinger took over as CEO in January 2025. The previous CEO Philipp Rickenbacher had resigned in 2024 as a result of a write-down of a good CHF 600 million on loans to the failed Austrian real estate group Signa. In April 2025, Noel Quinn from the UK also replaced Romeo Lacher, who had stepped down, as Chairman of the Board of Directors.
