The LLB Group continues on growth course
The LLB Group achieved record business volume of almost 93 billion Swiss francs in 2020. Client assets under management reached a new year-on-year record of almost 80 billion Swiss francs. Conversely, a 5 percent fall in operating income was recorded.
According to a press release from the LLB Group, the banking group that is majority-owned by the principality of Liechtenstein, it achieved a business volume of 92.9 billion Swiss francs in the 2020 financial year. This corresponds to growth of 4.0 percent versus the previous year. Client assets managed by the banking group increased by 4.4 percent year on year to 79.7 billion Swiss francs. With this, net new money amounting to 3.3 billion Swiss francs was acquired.
The press release further states that the banking group’s loans to clients and mortgage lending also increased versus the previous year by 2.1 percent and 3.6 percent, respectively. This means that the LLB Group has grown “more strongly than the market”.
In contrast, a decrease of 5.0 percent to 430.3 million Swiss francs was accepted for the operating income in the reporting year. The LLB Group attributes this development to the low dollar interest rates and the negative interest rate environment in Switzerland and Europe. Moreover, the banking group allocated allowances for expected credit losses of 11.6 million Swiss francs. However, allowances for the preceding year had amounted to just 1.0 million Swiss francs. The banking group’s loan book totaled around 13.2 billion Swiss francs at the end of 2020.
Operating expenses of 306.7 million Swiss francs were recorded for the reporting year; 1.5 percent lower than in 2019. All in all, the LLB Group achieved group net profit of 109.8 billion Swiss francs. This item was 11.0 percent higher the previous year. The banking group states that the principality of Liechtenstein will be credited a total of 47.2 million Swiss francs for the reporting year.