Swiss private bank Lombard Odier has reported a consolidated net profit of CHF124.5m for the year ended 31 December 2016, a decrease of 13% compared to CHF144m a year ago.
Total client assets as of 31 December 2016 were CHF233bn, an increase of 4% compared to the last year. The growth was bolstered by net inflows of CHF5.2bn.
Lombard Odier senior managing partner Patrick Odier said: “The rise in client assets in 2016 is positive in what was a challenging market. We continued to hire experienced bankers and portfolio managers to develop our private client business. In our asset management business, the strength of our offering resulted in us winning several large mandates over the year.”
The group’s operating income was CHF1.04bn, a 3% decrease compared CHF1.07bn in 2015.
Lombard Odier's total client assets in the private clients business reached CHF119bn, while asset management clients invested CHF45bn with Lombard Odier Investment Managers.
Technology and banking services clients entrusted an additional CHF69bn with the group.
As of 31 December 2016, the group's Basel III CET1 ratio was 29.3%, up from 25.7% a year earlier. The group’s operating cost-income ratio was 83%.
“Our cost income ratio remains high as a result of continued investments which should increase revenues in the medium term,” Odier said.