The private banking unit’s contribution to Societe Generale’s group net income plunged 55%, or 17m, from the first quarter of 2012 to 14m, while the contribution for the first half of 2012 fell by 32% from the first half of 2011 to 50m.
Operating expenses decreased by 2.5%, or 157m year-on-year leaving gross operating income of 17m for the second quarter of 2012 – a 56% slump from the second quarter of 2011.
In the first half of 2012, net private banking income totalled 374m, sliding 11.6% from the first half of 2011, while operating expenses fell by 4.7%, or 305m.
Net new assets went up by 0.9bn ($1.11bn) at SGPB during the second quarter of 2012.
Assets under management (AuM) have increased by 1% to 85.6bn in the past six months.
SGPB said these changes in assets in the last six months were due to a market effect of -0.1bn, cumulative inflows of +0.1bn, currency impact of +1.0bn and a structure effect of -0.3bn.
Source: Private Banker International