is shedding its $4 billion U.S. wealth management business in order to focus its efforts on mutual funds and private banking operations elsewhere. Julius Baer is selling the business to UBS in a deal expected to close in the first quarter of 2005.
"The sale of the U.S. private banking business will also allow us to reinvest in new business opportunities with comparatively more attractive upside potential for us," stated Michael Baer
, head of private banking.
"We will continue to expand both our institutional and mutual fund asset base in the U.S. market and, in addition to the existing expertise in international equities, further diversify our product offering to U.S. clients," stated Walter Knabenhans
, chief executive of Julius Baer.
Julius Baer's U.S. fund and institutional business manages $18 billion in assets, $14 billion of which is in international equities.
"The success of the international equity strategy provides a strong platform for future growth in traditional asset management, and we also intend to build on our alternative investments expertise," stated Glen Wisher, CEO of Julius Baer Americas.
In a media briefing
in October, Julius Baer executives said the asset management group would undergo "consolidation and streamlining" of its product lineup.
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