Swiss asset and wealth manager Vontobel reported a net profit of CHF264.4m for the year ended 31 December 2016, a 47% increase compared to CHF180.1m in the prior year.

Net profit was CHF201.5m on an adjusted basis, a 12% increase from a year ago.

The company’s asset management arm posted a pre-tax profit of CHF163.5m in 2016, an 18% jump from CHF139m in the prior year. Vontobel termed this unit as its main earnings driver in 2016.

Pre-tax profit at the private banking segment increased over 2% year-on-year to CHF47.2m.

The wealth management arm of Vontobel reported a pre-tax profit of CHF62.5m, a 3% increase from CHF61m the last year.

Total client assets stood at CHF195.4bn at the end of 2016, up 4% compared to a year ago.

Vontobel CEO Zeno Staub said: “In 2016, Vontobel demonstrated once again that with a clear strategy as a highly specialized, globally active wealth and asset manager, as well as a clear client focus, it is possible to operate successfully even in difficult markets. With our very solid financial result – even excluding exceptional impacts – we already achieved our 2017 targets in the course of 2016.

“The first few weeks of 2017 are an indication that this will not be an easy year. Political developments, the shift from ‘Quality’ to ‘Value’, and rising US interest rates – and the subsequent impact on emerging markets – will continue to pose challenges for our business, especially in Asset Management.

“Furthermore, many of our clients remain very cautious. Vontobel will nevertheless continue to pursue its current direction and gain momentum as we embark on a new phase of strong and profitable growth.”