Vontobel Holding AG

Vontobel reported operating income of CHF 852 million, up 24% year-over-year, profit before taxes of CHF 273 million, up 84%, and net profit of CHF 216 million, up 87%. Assets under management reached CHF 252 billion, up 5% from year-end. Adjusted cost/income ratio was 66.4% and reported cost/income ratio was 67.9%, both better than the 72% through-the-cycle target. Private Clients generated CHF 2.5 billion of net new money, while Institutional Clients had reported net new money growth of -1.5%; excluding the known Raiffeisen and Quality Growth effects, underlying growth was 7.4%. Management said the business is ahead of all through-the-cycle targets, with ROE at 16.9%, CET1 at 23.2%, and total capital ratio at 28.1%. For the balance sheet, liquidity coverage ratio was 148%, and tangible book value per share rose to CHF 36.5, up 8%.

Georg Schubiger framed the quarter as proof that Vontobel’s integrated model is working, citing record profitability, strong strategic progress, and clear operating leverage. He emphasized that the firm is investing in quantitative and AI capabilities, expanding tailored solutions, and using the efficiency program to lower the structural cost base while preserving room for growth investment. He also said the company is making targeted expansions in Los Angeles and Düsseldorf to scale a proven private-clients model into its next phase of profitable growth.

Jan Marxfeld focused on the financial quality of the results: revenues rose CHF 191 million to CHF 852 million, while costs excluding variable compensation declined, showing operating leverage. He noted the efficiency program has reached CHF 116 million of cumulative exit-rate savings, ahead of the original CHF 100 million target, and that the adjusted cost/income ratio improved to 66.4% from a year ago level that was 10 percentage points higher. On capital and liquidity, he highlighted a CET1 ratio of 23.2%, a total capital ratio of 28.1%, CET1 capital of CHF 1.5 billion, RWA of CHF 6.5 billion, and an LCR of 148%. He also said the firm issued an additional CHF 250 million senior unsecured bond and that the balance sheet remains conservatively managed, with a deliberate focus on modest lending and tight risk controls.

Analysts pressed management on the timing and size of Raiffeisen Futura outflows, with Jan clarifying the first-half outflow was CHF 1.3 billion on an asset base of about CHF 12 billion left, and saying the mandate runs until July 2027, with most of the remaining runoff likely in 2027. Questions also focused on capital deployment and M&A; management said the CHF 700 million-plus surplus capital is needed for the remaining Ancala stake, organic growth, and possible regulatory impacts, while M&A remains selective with no specific targets. On Structured Solutions, management said strong demand was driven by favorable markets plus fast product issuance and strong distribution, with U.S. equities and commodities cited as key first-half themes, but they declined to give forward revenue guidance. They also said quality-growth outflows remain tied to known structural effects and that outside those effects, equity franchises were growing.