19 Apr 2011
The Swiss banking group SYZ & CO recorded a positive financial year in 2010 with a +30.3% increase in assets under management, reaching CHF 24.8 billion at the end of 2010, despite the numerous uncertainties that weighed on the markets. Net inflows were significant in 2010 and amounted to CHF 7.3 bn during the financial year. Revenues in 2010 remained stable compared with 2009 and the SYZ & CO Group ended the fiscal year with a net profit of CHF 75.3 million (EUR 59 million). Equity capital is very high (CHF 409 m in 2010 vs. CHF 393 m in 2009) and the Tier 1 capital ratio increased from 24% to 26% over the period. The first few months of 2011 have been positive and enabled the assets under management to exceed the CHF 25 billion mark.
Good investment performances in managed accounts and investment funds, together with the further development of institutional asset management, enabled the SYZ & CO Group to record significant net new money during the year 2010. Net inflows amounted to CHF 7.3 billion for the financial year, which represents 38% of the assets managed at the end of 2009. The appreciation of the Swiss franc against the main currencies in which the Group’s assets are invested weighed on the increase in the assets, in Swiss franc terms. The assets managed by the Group at the end of 2010 reached CHF 24.8 billion, a +30.3% increase over the previous year.
This increase in assets led to a boost in recurrent income, offsetting the decrease in performance fees, which were naturally lower than in 2009 as a result of the more moderate gains registered by the markets. Revenues therefore remained stable and the Group’s gross margin, i.e. total operating income, stood at CHF 284.9 million at the end of 2010, compared with CHF 284.8 million in 2009. In terms of expenses, the SYZ & CO Group made some substantial investments in 2010, first of all in staff but also with the acquisition of the Swiss institutional bond management business of State Street Global Advisors in Zurich and the expansion of operations in Spain. The total payroll therefore rose from 376 to 432 employees at the end of 2010, a 15% increase, and total expenses increased by 9.3%. Consequently the Group ended the 2010 financial year with a high net profit, close to that of the previous year (CHF 75.3 million compared with CHF 81.7 million), the difference being attributable mainly to the appreciation of the Swiss franc.
Good investment performances in managed accounts and investment funds, together with the further development of institutional asset management, enabled the SYZ & CO Group to record significant net new money during the year 2010. Net inflows amounted to CHF 7.3 billion for the financial year, which represents 38% of the assets managed at the end of 2009. The appreciation of the Swiss franc against the main currencies in which the Group’s assets are invested weighed on the increase in the assets, in Swiss franc terms. The assets managed by the Group at the end of 2010 reached CHF 24.8 billion, a +30.3% increase over the previous year.
This increase in assets led to a boost in recurrent income, offsetting the decrease in performance fees, which were naturally lower than in 2009 as a result of the more moderate gains registered by the markets. Revenues therefore remained stable and the Group’s gross margin, i.e. total operating income, stood at CHF 284.9 million at the end of 2010, compared with CHF 284.8 million in 2009. In terms of expenses, the SYZ & CO Group made some substantial investments in 2010, first of all in staff but also with the acquisition of the Swiss institutional bond management business of State Street Global Advisors in Zurich and the expansion of operations in Spain. The total payroll therefore rose from 376 to 432 employees at the end of 2010, a 15% increase, and total expenses increased by 9.3%. Consequently the Group ended the 2010 financial year with a high net profit, close to that of the previous year (CHF 75.3 million compared with CHF 81.7 million), the difference being attributable mainly to the appreciation of the Swiss franc.
“The current combination between private banking, institutional asset management and investment funds ensures not only good stability but above all offers us interesting growth prospects for the coming years. We will therefore be continuing our expansion drive in 2011,” said Eric Syz, Managing Partner. “One of our strengths is our ability to react quickly, enabling us to take advantage without delay of opportunities as they arise and to adapt continually to the market,” added Alfredo Piacentini, Managing Partner.
