- Assets under management increased 8.6% in 2021 to CHF 177.6 billion
- Net new money came out at CHF 8.2 billion, with all businesses making a dynamic and balanced contribution
- Gross operating income grew 24% to CHF 194 million on a strong increase in income and controlled expenses
- The balance sheet was solid with a solvency ratio of 23%
INCREASE IN AUM THROUGH POSITIVE NET NEW MONEY
The Edmond de Rothschild Group reported strong and well-balanced growth across all businesses and regions in 2021, reflecting the solidity of its business model and the confidence of its clients.
Assets under management rose 8.6% to CHF 177.6 billion, as net new money amounted to CHF 8.2 billion and markets evolved positively.
Private-client net new money reached CHF 5.4 billion while asset-management net new money rose substantially, to CHF 2.7 billion, fuelled in particular by investment strategies in real assets (private equity, real estate and infrastructure debt). Liquid asset management collected across all asset classes (equities and bonds) and posted significant successes, notably with the Big Data fund, which topped the symbolic mark of CHF 1 billion.
STRONG FINANCIAL PERFORMANCE
This business momentum, together with controlled operating expenses, enabled the Group to boost its financial performance significantly, with a gross operating income of CHF 194 million (up 24%) and a net income of CHF 79 million (up 39%).
The Group posted excellent financial solidity with a solvency ratio of 23% and has no significant balance-sheet exposure relative to the Russia-Ukraine conflict.
ACCELERATING OUR STRATEGY AS A CONVICTION-DRIVEN INVESTMENT GROUP
The Group is pursuing its strategy to step up its positioning as a conviction-driven investment company. In 2021, over 80% of the assets in the Edmond de Rothschild Group’s open-ended funds complied with Articles 8 and 9 of the Sustainable Finance Disclosure Regulation, testifying to its thorough commitment. The Group quadrupled its range of SRI-certified funds between 2019 and 2021. This cross-business range covers European equities and bonds, mixed assets, and themes such as healthcare, human capital and the fight against global warming. The Group is moving ahead with the multi-year development programme of its responsible investment strategy by integrating environmental, social and governance (ESG) criteria into all of its investments (liquid and real assets).
With nearly CHF 20 billion real assets under management, the Edmond de Rothschild Group is able to provide its clients with tools to diversify their portfolio and achieve attractive yields over the long term given the level of interest rates while generating a positive social and environmental impact. Despite the geopolitical situation, the Edmond de Rothschild Group, with its financial solidity, is well positioned to move ahead with its development and support its customers in a more uncertain and volatile environment.
Commenting, François Pauly, CEO of the Edmond de Rothschild Group, said: “These excellent results demonstrate our Group’s ability to adapt and innovate. The quality of the investment services and solutions we bring our clients remains our central concern, and we continue to invest in our teams and information systems to respond unfailingly to their expectations. We are strengthening our presence by their sides in our main regions with the arrival of new, experienced teams. As part of our commitment to responsible investment, we are constantly strengthening our offering with innovative investment strategies combining financial, social and environmental performances.”
Ariane de Rothschild, Chairwoman of the Group’s Board of Directors, said: “2021 was a trying year with the sudden death of my husband Benjamin de Rothschild. I was extremely touched by the substantial support shown by our clients and teams. Our excellent results in 2021 are the result of the transformations initiated in the last few years and the commitment and hard work of the teams alongside François Pauly and the Executive Committee. This is a fine homage that we can pay collectively to my husband, and his determination to build a solid banking group advocating a contributive vision of finance.”
ABOUT THE EDMOND DE ROTHSCHILD GROUP
As a conviction-driven investment house founded upon the belief that wealth should be used to build the world of tomorrow, Edmond de Rothschild specialises in Private Banking and Asset Management and serves an international clientele of families, entrepreneurs and institutional investors. The group is also active in Corporate Finance, Private Equity, Real Estate and Fund Services.
With a resolutely family-run nature, Edmond de Rothschild has the independence necessary to propose bold strategies and long-term investments, rooted in the real economy. Founded in 1953, the Group had nearly CHF 178 billion in assets under management at the end of December 2021, 2,500 employees, and 32 locations worldwide.
Press contact:
EDMOND DE ROTHSCHILD
Florence Gaubert: +41 79 340 07 26 – f.gaubert@edr.com