Pictet, the Geneva-based wealth manager, reported an improved operating result last year of 930 million Swiss francs compared to 924 million in 2021, and a consolidated profit of 768 million francs, although its assets under management declined, according to unaudited figures released Tuesday. At the same time, the firm announced a long-tenured partner was stepping down.

The consolidated net profit is around 24 percent below that of 2021 when it was 1.01 billion francs. But after, adjusting for extraordinary income, mainly from the sale and lease-back in 2021 of its Geneva headquarter, the net profit fell one percent according to the firm.

More Than 20 Years With the Firm

Managing partner Bertrand Demole has decided to step down on 30 June of this year after 22 years at the firm, 12 of which were as a managing partner. He will retain a non-executive role with the group after stepping down as a partner in June 2023.

Assets under management ended the year at 612 billion francs. Assets under management (AuM) fell to 610 billion francs at the end of June last year, falling from 698 billion at the end of 2021 which was a record year for several wealth managers in terms of overall AuM and net new money. Last year's decline, brings Pictet's AuM to around the level they were in 2020 when it stood at 609 billion francs.

Difficult Year

For the year, Pictet said it attracted four billion francs in new money. 

«Pictet achieved solid results in 2022 in an overall difficult year for financial markets. Rising interest rates, increased client activity in the last quarter of the year, and our growing alternative investment business contributed positively,» said senior managing partner Renaud de Planta.

Regulatory Ratios

Pictet's liquidity coverage ratio was 176 percent at the end of the year compared to the 100 percent required by Basel III. Its regulatory capital of 3.39 billion francs means its 27.4 percent total capital ratio was more than twice the 12 percent requirement set by Pictet’s Swiss regulator Finma.