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Bern-based bank expands its reach in German-speaking Switzerland

Bern-based bank expands its reach in German-speaking Switzerland

Bern-based Valiant Bank plans to open branches in Rheinfelden, Frauenfeld, Wil and St. Gallen in 2019, the bank has announced.

This is yet another step towards strengthening the bank's presence in Switzerland.

In January, Valiant Bank announced that it would be opening branches in Morges, Nyon and Vevey, boosting its representation in a French-speaking part of the country.

It also plans to finalise its acquisition of the Lucerne-based Triba Partner Bank by the middle of 2018, which will provide Valiant with better access to the central region of Switzerland.

Digital moves 

Aside from the latest expansion plans, the private bank also aims to issue covered bonds in the fourth quarter of 2017.

The bonds will target institutional investors such as pension funds, insurance firms and banks. The first issuance will consist of at least CHF 150 million.

According to the bank’s report, transactions in branches have decreased by 25%, as clients do more banking online.

In order to reflect this change, Valiant plans to restructure its branches and combine face-to-face advisory with a digital offering.

Part of this effort is to introduce video communication, which has already been implemented in the new office in Brugg and will soon be offered in other branches.

Assets slump

Valiant's earnings grew by 1% from CHF 51. 676 million in December 2016 to CHF 52. 178 million in June 2017. The majority of this came from the core credit business, mortgages and credit for small and medium companies.

Over the same period, client assets decreased by 1.3% from CHF 18 241 in December 2016 to CHF 18 005 in June 2017, with the bank pointing the finger at the impact of negative interest rates.

The cost/income ratio of the bank has sunk from 58.6% to 58.1%. 

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