Julius Baer hurt most by dipping markets

ZURICH: Julius Baer Holding AG, the Swiss bank splitting off its wealth unit, said first-half profit dropped 47 percent as slumping markets and fund outflows cut assets under management.

Net income fell to 218.6 million Swiss francs ($204.3 million) from 412.4 million francs a year earlier, the Zurich-based bank said yesterday. That beat the 209.5 million-franc median estimate of six analysts surveyed by Bloomberg. Assets under management fell 18 percent to 299 billion francs.

Julius Baer is splitting into two publicly traded companies focused on wealth and asset management after outflows at the GAM hedge fund unit hurt investor confidence. Chairman Raymond Baer said in May the breakup will make the private bank more attractive to clients and give the asset management unit the freedom to distribute its products more widely.