LGT, the private banking and asset management group owned by Princely Family of Liechtenstein, has reported group profit of CHF211m for the year ended 31 December 2015, a 28% increase compared to CHF165m a year ago.
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The group said that increased income, moderate rise in costs despite continuing investments in human resources and IT capabilities, contributed to the rise in profit.
Total operating income increased 14% to CHF1149.3m from CHF1009.8m a year ago, while total operating expenses increased 7.6% to CHF818.8m in 2015 from CHF761m in 2014.
The group’s net interest and similar income rose by 25% to CHF115.3m, reflecting efficient balance sheet management.
According to LGT, income from services jumped 12% to CHF 783.7m, attributable to both a larger asset base and strong client activity, while income from trading activities and other operating income rose 16% to CHF250.4m.
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By GlobalDataPersonnel expenses grew 6.1% to CHF631.9m mainly attributable to staff recruitment and performance-related compensation in line with better performance, while business and office expenses rose 13% to CHF186.9m.
The bank’s assets under management increased 2.7% to CHF132.2bn from CHF128.8bn in 2014 despite negative currency effects.
As at 31 December 2015, LGT Group’s tier 1 ratio was 20.1%, compared to 18.4% in 2014. The cost-income ratio improved from 75.4% at the end of 2014 to 71.2% as at 31 December 2015.
The group said that its net asset inflows totalled CHF 8.8bn for 2015, representing 7% growth rate.
LGT CEO H.S.H. Prince Max von und zu Liechtenstein said: "Our consistently high level of growth and very good results for 2015 are the result of our commitment to pursuing our long-term international growth strategy, and our constant efforts to enhance quality."
