Private banking will remain central in Ticino

How do you assess the situation and prospects of the Ticinese financial centre?

The Ticino square in recent years has experienced a downsizing, based on changes in the international and national framework. Having said that, it must be added that it is now defending itself well, especially thanks to Swissness and the ability to provide personalised services. In Ticino there are many good operators, there is a thorough knowledge of issues related to finance and wealth planning. We must always try to improve our ability to offer services, but I think we can say that the Ticino market will grow further in the future, thanks also to its good reputation and the relationship of trust with customers. There is a lot of experience in this area especially in private banking. While keeping in mind the changes, and therefore the need to always update products and services,

In recent years there have also been those who have stressed the need not to remain too centered on private banking, to diversify activities more. How do you see this playing out?

I believe that we must first of all do well with what we specialise at. If the Ticino square has a good position in the management of private assets, it is right to try first to defend, and if possible improve, this position. It should also be said that in Ticino there is no lack of other activities, such as those linked for example to loans to businesses and individuals; if some of the operators of the square also work on these and other aspects of the activities, well I would say continue. In my opinion, this does not mean that we need to focus less on a business like that of private banking, which remains central to the market.

Other analysis has highlighted the need to diversify foreign markets more, proportionally decreasing the link with the Italian market. What do you think?

We can try to diversify, yes, but up to a certain point. If there is an opportunity to acquire customers from other markets, it is right to do so. But it must be borne in mind that it is not easy to follow many different markets, there are often different situations and regulations, which can also lead to overloads for the structures and cost increases. I see greater market diversification as a by-product. I believe that the objective of strengthening the positions on the local market in Ticino and on our main foreign markets remains a priority. Among the latter for Ticino there is and will remain Italy, even with the fluctuations due to its economic situation.

What is Julius Bär’s line with regard to the local Ticino market and the Italian market?

Most of our bank’s advisors here in Ticino follow both markets and are able to respond to the different needs of customers, whether they are residents or non-residents. For us, the main activity is private banking, following this path of managing private assets, however, we can offer customers, when the conditions are right, also services related to loans, mortgages or other types. This presence in credit is in any case an activity linked to asset management. In other words, we can accompany those who are our customers in the management and planning of assets on other lands, responding to their needs.

In Italy Julius Bär controls Kairos SGR, of which you now have 70%, with 30% re-acquired by internal managers. What are the prospects for your direct presence in the Peninsula?

Kairos is an asset management company and has no banking license. It is a financial boutique that expresses value, with good managers, mainly active in asset management and then in private banking. For our group, Italy is one of the major foreign markets, has excellences especially in the large fabric of small and medium-sized enterprises, and will be able to generate more wealth in the coming years. Julius Bär thinks that it is therefore appropriate to continue to operate in Italy both from Ticino - even if the lack of free access places limits - and directly in the Peninsula. We believe that the investment in Kairos is giving and will give its returns in the future.