This week we saw a number of Swiss private banks report their quarterly results.

Building on our recent “Spotlight on Switzerland“, jointly written with my HK-based senior research analyst Bryan Liu, growth primarily came from the wealth management units of those banks, with net cash flows overwhelmingly from Asia and Emerging Markets.

– UBS reported close to CHF6 billion in net cash contribution from “our strategic growth areas of the Asia Pacific region and the emerging markets as well as from ultra high net worth clients, despite continued outflows from the cross-border business relating to neighboring countries of Switzerland.” On the firm’s asset management side, UBS showed lower performance fees especially in the alternative and quantitative businesses.

– Julius Baer highlighted strong growth momentum in Asia and its recently acquired stake in the largest Brazilian Wealth Manager GPS, with additional growth in Russia and Eastern Europe (the latter having been a focus for JB for a while). Similarly to UBS, strong flows in emerging markets outweighed low growth in the firm’s European offshore book – Asia now represent 15% of assets for Julius Baer and the firm during the last quarter became the first private bank to be granted a QFII license. With the GPS partnership, JB plans to learn about the Brazil and LatAm WM space and accelerate growth.

– Credit Suisse talked about a challenging quarter for the investment bank, but continued cash inflows to private banking (CHF11.5 billion for the quarter) – wealth management had broad-based inflows, but two-thirds came from international regions. Notably, asset management net revenues were up by 25% year on year with strong flows to multi-asset class solutions, and performance fees were up as well due to “significantly higher semi-annual performance fees from Hedging-Griffo (CS owns 50% plus one share of the Brazil fund manager).

For more details on the growth from Asia, Latin America and other emerging markets for Swiss and international private banks and asset managers, please review our half dozen recent research studies on http://www.sionline.com.