Dear shareholders,
In 2025, the global trade and security landscape shifted dramatically, and we witnessed what is potentially the largest geopolitical reordering in recent times. This tested the resilience of governments and companies alike, as they were forced to react to sudden and sweeping changes. Despite these challenges, economic growth remained resilient, with only a slight slowdown in major advanced economies and continued strength in emerging markets. For the financial sector, the weaker US Dollar and lower interest rates, coupled with rising geopolitical tensions, created some headwinds and reduced visibility for 2026.
For EFG as a globally active private banking group, there are, however, several secular trends shaping society that have a profound impact on our business.
Wealth creation remains strong around the globe. According to a recent analysis, the financial wealth of high-net-worth individuals (HNWIs) is expected to grow by around 6% annually until 2030. A large part of this wealth will be created by entrepreneurs and will flow to international financial centres, where EFG is present. Many of our clients are global citizens who are seeking ways to diversify risk – not only across asset classes but especially also across geographies. In this period of geopolitical uncertainty, they view Swiss Private Banking as a means of geopolitical risk diversification.
We are increasingly seeing that wealth is “on the move” – between geographies and also between generations. The forthcoming Great Wealth Transfer, in which baby boomers will pass on their assets to their children and grandchildren, is set to become the largest intergenerational transfer of wealth in history.
Finding solutions to these global topics and secular trends will continue to shape the agenda of actors in the private and public sectors for the foreseeable future.
Against the backdrop of this dynamic global environment, EFG successfully concluded its 2023–2025 strategic cycle, meeting the ambitious targets we set in 2022, exceeding the majority of them. Over the past cycle, we delivered strong growth, strengthened our profitability and enhanced our operational resilience, while maintaining disciplined cost management. Our increased profits also enabled us to make targeted investments in our business, transforming EFG and positioning it for the future. As a result, we are now entering our next phase of growth from a position of strength.
Record results in 2025
2025 was another year of strong progress and performance for EFG.
Net new assets (NNA) totalled CHF 11.3 billion, corresponding to a growth rate of 6.8%. Our continued growth demonstrates the trust that our clients place in our services and in our employees. In particular, we are pleased that the NNA contribution from existing Client Relationship Officers (CROs) has increased as clients entrusted us with a larger share of their assets.
This strong organic growth was complemented by three acquisitions we announced in the past 12 months, contributing an additional CHF 16 billion to our Assets under Management: Cité Gestion in Geneva, Investment Services Group (ISG) in New Zealand, in which our subsidiary Shaw and Partners acquired a majority stake, and Quilvest in Zurich.
Operating profit rose 26% year on year to CHF 493.1 million. Our strong operating performance allowed us to absorb the exceptional items we recorded in 2025 – mainly related to the ongoing resolution of legacy matters.
We delivered a record IFRS net profit of CHF 325.2 million (+1% compared to 2024) and a return on tangible equity (RoTE) of 18.2%. Net profit includes a provision for a previously disclosed legacy matter of CHF 59.5 million, as well as a gain of CHF 45.4 million from insurance recovery in 2025. We maintained our disciplined approach to costs throughout 2025, lowering our cost/income ratio to 69.8%.
EFG has maintained its strong capital and liquidity positions that are well in excess of the regulatory minimum requirements. At the end of 2025, our CET1 capital ratio was 14.0%1 and our liquidity coverage ratio was 270%. Our CET1 ratio was impacted by a provision for a legacy matter and the acquisitions we closed in 2025. EFG’s management floor for the CET1 ratio is 12%, which leaves us with the necessary flexibility to accelerate our growth through strategic acquisitions, while also continuing to return capital to our shareholders.
EFG has a progressive dividend policy, and we plan to continue making attractive distributions to our shareholders. As part of our updated strategy, we increased the target payout ratio to around 60% of net profit from around 50% previously. The payment of an ordinary dividend of CHF 0.65 per share [exempt from Swiss withholding tax] for the financial year 2025 will be proposed to the Annual General Meeting of 20 March 2026. This corresponds to an increase of 8% compared to the previous year.
At EFG, we want to generate sustainable and profitable growth to create lasting value for all our stakeholders, including our shareholders, clients and employees. Reflecting our commitment to sustainability, we aim to ensure that our actions today support economic growth, protect the environment, and foster social progress helping to secure prosperity for current and future generations. For further details on our approach, please refer to our latest Sustainability Report.
Entering a new strategic cycle
We are now beginning the next chapter of our sustainable and profitable growth story. As announced at our Investor Day on 25 November 2025, we will focus on delivering consistent performance and on unlocking the power of compounding for the 2026-2028 period. Over the next three years, we will continue to build on our strengths: our client-centric business model, our first-class content and client solutions, and our “simplicity” mindset across our operational processes, which we can enhance with technology. Our decision to focus on these three key areas – clients, content, simplicity – has served us well since 2019. At the same time, we want to capture new opportunities for growth.
Alexander Classen, Chair (left), Giorgio Pradelli, CEO (right)
Reflecting the evolution of our business and the growing breadth and sophistication of our offering, we have refined EFG’s vision 2030 together with our employees. By 2030, we aspire to be the private bank of choice for generations of clients, delivering truly personalised service and impartial advice.
Investing in our people and franchise
In order to fulfil this ambition, we will continue to expand our talent base, strengthen client coverage and focus on commercial excellence. Private banking and wealth management are – and will remain – a people business. EFG’s success as a company is built on the success of our over 3000 employees around the globe. The relationships between our clients and our 763 Client Relationship Officers is our most valuable asset, making the attraction and retention of the best talent a key driver of organic growth.
EFG attracted 79 new CROs in 2025, with an additional 67 joining through the acquisitions of Cité Gestion and ISG.
While the essence of our entrepreneurial CRO model has remained unchanged since EFG was founded, we are continuing to adapt it to best meet the evolving needs of our clients. The “augmentation” of our CROs will be a focus area during the 2026-2028 strategic cycle. We aim to achieve this by deepening the collaboration between our CROs and our expert teams, by providing them additional tech-enabled tools, and by empowering them through a stronger EFG brand.
All these initiatives build on investments we made in 2025 and previous years. By reducing complexity and maintaining strict cost and controls, we have increased efficiency and productivity.
Our low-risk profile and continued balance sheet de-risking has been recognised by rating agencies and regulators worldwide. We are committed to reinforcing both our operational and our financial resilience going forward.
We are convinced that our industry will continue to grow across geographies and segments as the need for impartial expert advice is now greater than ever. EFG is ready to capture the attractive opportunities that this brings.
We want to extend our thanks to you, our shareholders and clients, and to all our other stakeholders, for your continued trust in EFG and your valuable support. We also wish to express our gratitude to our colleagues around the globe for their hard work and dedication.
Best regards
Alexander Classen
Chair of the Board
Giorgio Pradelli
Chief Executive Officer
Chair and CEO message
This section contains certain financial measures of historical and future performance and financial position that are not defined or specified by IFRS, such as "net new assets", "Assets under Management" and “Cost/income ratio”. These alternative performance measures (APMs) should be regarded as complementary information to, and not as a substitute for, the IFRS performance measures. For definitions of APMs, please refer to the section headed “Alternative performance measures” of this Annual Report.