Credit Suisse Asia Pacific hopes to double profit

The announcement this week followed a global strategic review of Credit Suisse Group.
Credit Suisse reported record results for the Asia-Pacific region, with revenues rising to 3 billion Swiss francs (Bt109 billion), up 17 per cent, and pre-tax income of 1.1 billion francs, up 48 per cent, for the first nine months of the year.
It said the results were driven by continued strong performances in the Asia-Pacific region and its “One Bank” model, under which it provides integrated private banking, wealth management and investment banking products to its clients.
“Credit Suisse Asia Pacific generated record pre-tax income for the first nine months of the year,” Sitohang said. “Asia-Pacific now accounts for 15 per cent of total Credit Suisse revenues and 28 per cent of pre-tax income. “This is a strong performance, particularly given the current market conditions, and demonstrates the resilience of our business model and our ability to generate profitability through the cycle.”
Credit Suisse Asia Pacific has now set a target to double pre-tax income and client assets under management in the region by the end of 2018. Currently Credit Suisse has 133 billion francs of client AUM and in the first nine months gathered 14.7 billion francs of net new assets, representing 55 per cent of the bank’s total private banking net new assets.
“We are making a significant investment of capital and resources into Asia-Pacific,” Sitohang said. “Our focus is on being a partner to our high-net-worth-individual, entrepreneur and institutional clients and supporting them in their growth ambitions.
“We plan to expand further in our core markets, capitalising on our strengths in Southeast Asia and building out our China franchise, while maintaining a consistent culture of compliance and controls.
“Our ambition is to be the trusted entrepreneurs’ bank in Asia-Pacific, and a key destination for talent.”
According to the Credit Suisse Research Institute “Family Business Model 2015” report, 57 per cent of new wealth in the Asia-Pacific region is driven by first-generation entrepreneurs, and family ownership of listed companies is expected to grow in many markets in the region as more wealth is created.
“As wealth in Asia-Pacific grows and financial markets deepen, we see significant opportunities to help our clients capture this growth,” Sitohang said.
“Our track record of performance, our culture of partnership and our strong client franchise gives Credit Suisse in Asia Pacific a strong platform.
With the additional investment in the region, we expect to further build on this platform to the benefit of our key entrepreneur as well as investor clients.”