Julius Baer Group Ltd. saw accelerated client inflows in the first four months of 2023 and said it expects to hire more bankers this year, as the takeover of Credit Suisse Group AG by UBS Group AG continues to shake up Swiss wealth management.

The Zurich-based bank reported net new money of 3.5 billion Swiss francs ($3.9 billion) by the end of April, and assets under management up 1% from a year earlier, the bank said in a statement on Tuesday. The slight increase was partly offset by a negative currency impact, mainly from the strengthening of the Swiss franc against the US dollar, it said.

A rebound “in stock and bond markets supported the valuation of assets under management, offsetting the impact of a weaker US dollar,” the bank said.

The bank said about 40 relationship managers had been brought on in the first four months. Credit Suisse has seen an exodus of staff in recent months, though the amount of job cuts involved in the historic fusion brokered by the government in March is not yet clear.

Key figures for the first four months

• Cost-to-income ratio 66%, compared with a target of more than 64% by 2025
• The group’s BIS CET1 capital ratio improved to 15.0%

The gross margin, a key measure of profitability, saw a slight drop at 92 basis points, compared to below the close-to-93 basis points achieved in the second half of 2022.

Last month the bank said it completed a buy-back program which aimed to repurchase up to 400 million Swiss francs of its shares.

“The first four months of 2023 provided a challenging backdrop for wealth managers, with uncertainties in particular areas of the banking sector toward the end of the period,” the bank said.

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