The Lombard Odier Group Reports Results for the First Half of 2014

PR57677

GENEVA, Aug. 28 /PRN=KYODO JBN/ --

    - Total client assets on 30 June 2014 amounted to CHF 211 billion of which

assets under management were CHF 156 billion

    - Consolidated net profit was CHF 62.5 million for the Group

    - Fully-loaded Basel III CET1 ratio stood at 23.8%

    Assets under management and strategic diversification across three business

lines

    Several years ago, Lombard Odier decided to accelerate the expansion of its

private client business in Europe, Asia and Switzerland, to sharpen the scope

of its asset management business and to turn its technology platform into a

profit centre. This long-term strategic evolution is showing steady progress

and positions the firm for the future.

    As a result, today the Group is organised around three business lines with

total client assets at the end of June 2014 of CHF 211.0 billion. Total client

assets in the private clients business amounted to CHF 114.7 billion. Asset

management clients invested CHF 47.8 billion. Technology and banking services

clients entrusted an additional CHF 48.5 billion of assets to Lombard Odier.

    Solid earnings

    The Group's consolidated income in the first six months was CHF 527.1

million and the operational cost base was CHF 429.7 million. Operating

cost-income ratio for the Group stood at 80%, reflecting long-term investments

in three strategic areas: the private client businesses in Europe, Asia and

Switzerland; asset management expertise for institutional clients; and further

developments into the technology platform that Lombard Odier provides to third

parties.

    "These results are in line with our expectations and reflect both the

investments we make towards our strategic objectives as well as the

conservative use of our balance sheet," said Patrick Odier, Senior Managing

Partner. "Our Group is increasingly diversified, more international and more

balanced between private and asset management clients and we are expanding our

partnerships with financial services providers. Our solid net profit allows us

to continue investing in all three businesses."

    Strong and liquid balance sheet

    The consolidated balance sheet totals CHF 17.1 billion and is

conservatively invested. The Group has no external debt and is well capitalised

with a fully-loaded Basel III CET1 ratio of 23.8%, which is well above the

FINMA's 12% target. The Liquidity Coverage Ratio was 653%.

    One of the Group's objectives is to remain one of the best capitalised

banks in the world. Lombard Odier's strong capitalisation is a foundation of

its clients' trust in the firm.

    About Lombard Odier

    Lombard Odier provides its private clients with a full range of bespoke

services such as succession planning, discretionary and advisory portfolio

management, tax reporting and custody services. With a view to remaining close

to its clients' needs, the Group is able

to harness expertise and technology to provide wealth management solutions

across the globe. Lombard Odier has developed significant private banking

operations in Europe, Asia and Switzerland.

    Lombard Odier Investment Managers (LOIM), the Group's asset management

unit, seeks to deliver performance by identifying sources of both risk and

return through absolute return, smart beta and high conviction strategies. LOIM

offers its clients a range of innovative solutions including risk-based asset

allocation, thematic equity investments, convertible bonds and absolute return

as well as alternative strategies.

    Lombard Odier provides its technology and banking clients with its own IT

and operational infrastructure as well as global custody and reporting services.

    The Lombard Odier Group has a presence in the world's main financial

centres and offers its clients a global perspective through its network of

offices in 19 jurisdictions. The Group employs about 2,000 people.

    The Group has a AA- Fitch rating with a "stable" outlook.

    Lombard Odier is headed by eight Managing Partners, who represent up to the

seventh generation of bankers running the Firm. They are both owners and

managers and are involved with leading the firm's strategy and management as

well as serving clients. Since its founding in 1796, the Firm has stayed true

to its primary vocation of preserving and nurturing the assets entrusted to it

and helping to hand them to future generations.

    For more information: http://www.lombardodier.com

    Bank Lombard Odier & Co Ltd

    Rue de la Corraterie 11

    1204 Geneva

    http://www.lombardodier.com

    Warren Giles

    Media Relations (English)

    Tel: +41(22)709-31-57

    w.giles@lombardodier.com

    Christoph G. Meier

    Head of Communications

    Tel: +41(0)22-709-17-46

    c.meier@lombardodier.com

    Marionna Wegenstein

    Pressverantwortliche (Deutsch)

    Tel: +41(44)214-14-10

    m.wegenstein@lombardodier.com

    Media Relations

    Tel: +41(22)709-21-21

    Francois Mutter

    Relations Medias (Francais)

    Tel: +41(22)709-93-64

    f.mutter@lombardodier.com

    SOURCE: Bank Lombard Odier & Co Ltd