Julius Baer (AO) | Hold | 4M26 Key conference call takeaways

Research evidence excerpt

Julius Baer (AO) | Hold | 4M26 Key conference call takeaways

o, linked to rate-hike concerns and macro uncertainty)

2026 NNM now expected "somewhat below" the 2025 annualised rate vs above the 2025 level previously. Consensus is currently at c.3.3-

3.4%, which implies downside.

No quantification of individual headwind contributions offered; derisking end-date not guided; gradual improvement expected over

time.

Mid-term target of 4–5% NNM by 2028 reiterated with "high confidence"; Confidence drivers: product/service capabilities (discretionary

mandates, structured products, alternatives), sharper client targeting, front-line enablement and process simplification, AI on

compliance workflows, RM compensation redesign.

Geography: stronger contribution from Western Europe & Switzerland in 4M26; management expects broader regional

contribution ahead.

Geography: stronger contribution from Western Europe & Switzerland in 4M26; management expects broader regional contribution

ahead.

Middle East context: AuM exposure c.11% (unchanged vs. 2025); clients typically book offshore (Switzerland/Singapore); no onshore ME

booking center; management sees mid‑term reinforcement of the value of stable offshore centers.

Asia colour: competitors reported strong inflows; Management highlighted IPO lifecycle dynamics (lock‑ups, hedging, cash, then

deployment) and notes some clients are cautious to deploy at equity highs.

RM hiring

RM count: 1,257 at end-April (1,262 end-2025); 33 signed on in 2026, 15 in advanced discussions; on track for c.150 new RMs by year-end

RMs on business case: c.30% of total RM population; 68% business case achievement rate; c.70% of CHF 3bn NNM contribution.

Existing/seasoned RMs: c.30% of 4M NNM; long-term target remains to increase this proportion.