The preliminary figures are lower than those of the previous year, mainly because of the results of currencies and forex, which were impacted by the scrap of currency ceiling against euro and the inopportune strengthening of our national currency. Nevertheless, Bondpartners ended the fiscal year 2015 close to break-even. If turnover reported weaker numbers, margins improved notably as well as revenues from trading and brokerage activities. For their part, operating expenses remained contained. Solvency ratios continue, as in the past, to be widely above regulatory requirements.
For the fiscal year ended 31st December 2015, Bondpartners SA hereby announces a preliminary and non-audited individual income of CHF -0.03m versus CHF +2.84m in 2014. The gross ordinary income, excluding currency exchange effects, reached CHF 10.5m (vs CHF 10m in 2014).
Including currency effects, the turnover decreased by 30% whilst the global average of margins increased nearly 50%. Most ordinary results have made progress (net income from commissions: +11% at CHF 1.4m, net result from trading transactions: +13,5% at CHF 6.4m), with the exception of net interest income: -9% at CHF 1.9m and result from currencies and forex which totalled a loss of CHF – 2.8m vs a gain of +0.6m in 2014. Operating expenses declined by 1% with a total of CHF 6.5m.
The statutory balance sheet lost 20% to CHF 122.8m, with current assets making up 92% of the latter (namely, liquidity with first grade institutions: 3%, due from banks: 38%, receivables arising from trading operations: 6,5%, due from customers: 2%, securities portfolio: 42% of the balance sheet). With regard to liabilities, commitments arising from trading operations reached CHF 8.2m (-46%) and amounts due to customers came to CHF 32.5m (-40%). The reserves for general banking risks remained unchanged at CHF 41.7m and the shareholders’ equity lost 2% to CHF 81m.
The parent company’s solvency ratio (Tier One & Two, according to Basel III principles) remains stable and stands nearly to 40%. Eligible and required capitals respectively reach about CHF 70m and CHF 14m, giving a net free equity of CHF 55m according to preliminary figures.
The continued volatility and the serious turbulence caused by China’s growth and oil prices drop, again, bullied financial markets and affected investors’ confidence in this beginning of year. Current mood is not really optimistic and the forecasts for 2016 are difficult to establish in view of the numerous uncertainties. If it is true that market jolts penalize at the moment the evaluation of positions held for own account, it can be noted that they favour however also the Company’s transactional activity from the perspective of margins and skills in trading equities amid a deteriorating context regarding market liquidity and price stability.