The Julius Baer Group is a Swiss company operating in the private banking sector. The primary offerings of Julius Baer are wealth management and consultancy for investment. Products are provided through foreign exchange trading and the securities markets as well as an in-house open architecture platform. It is a publicly listed company with shares traded on Switzerland’s SIX Exchange. Othman Louanjli has worked for Julius Baer since moving there from Goldman Sachs in 2013. The embedded short video introduces the Julius Baer Group.
The Julius Baer Group has its origins in the 19th century, with an exchange office that was later acquired by Julius Bär in 1901. Julius Bär’s sons would later become partners. Between 1901 and 2012, four generations of the Bär family were partners and board members of the bank, although control was relinquished by the family in 2005. Beatrice Speiser-Bär and Raymond Bär remained involved in the leadership of the bank until 2009 and 2012 respectively, as board member and chairman of the board. In the infographic attachment you can find some of the most important dates in the history of the Julius Baer Group.
Recent Acquisitions and Growth
In 2005, Julius Baer Group acquired an asset management house and three independent banks from UBS AG, making the company one of Switzerland’s largest independent firms for wealth management. These were Global Asset Management (GAM), Banco di Lugano, Ehinger & Armand von Ernst, and Ferrier Lullin. In 2009, GAM was demerged from Julius Baer to become a separate company. In the initial deal, 21% of the shares in Julius Baer were acquired by UBS AG, which then funded a share buyback in 2007 and sold off this stake in the Group. Julius Baer reached an agreement in 2012 with Kairos to cooperate in Italy for the creation of a wealth management leading onshore player. Also in 2012, the International Wealth Management business of Merrill Lynch was acquired by Julius Baer. In 2014, Julius Baer purchased Bank Leumi’s private banking assets.
World’s Best Wealth Management Bank
In 2017, Julius Baer won the award for World’s Best Wealth Management Bank from the Euromoney Awards for Excellence. The award came about in part due to the fact that between 2009 and 2017, Julius Baer had doubled the total value of assets under management. In 2016 alone, Julius Baer’s total assets grew by 12%, with nearly 12 billion SFr added in net new assets. The profit per adviser at Julius Baer is among the highest across the entire industry. In the PDF attachment you can read about the Responsible Investment policies of Julius Baer.
Part of the new strategic direction of Julius Baer involves the opening of three new offices in the North of England and Scotland and the addition of a small Belfast team. Julius Baer already employs more than 200 staff in London. However, the bank stated that around two-thirds of wealth in the UK is held outside of the south-east and London. The new offices are part of expansion plans to draw in multi-millionaires from new regions of the UK. Julius Baer only accepts clients who have a minimum of £2 million in assets, which is approximately double that required by many other private banks. The announcement of the UK expansion flies against other financial institutions that are expected to leave the UK in light of the uncertainty raised by Brexit. Chief Executive Boris Collardi stated that the UK offers an opportunity for Julius Baer, with UK high net worth individuals currently having doubts about the market.