Credit Suisse said today that its private banking and wealth management arm logged net revenues of SFr3.303 billion ($3.49 billion) in the first quarter of 2013, a 5 per cent year-on-year fall, while pre-tax income stood at SFr881 million.

Credit Suisse said today that its private banking and wealth
management arm logged net revenues of SFr3.303 billion ($3.49 billion) in the
first quarter of 2013, a 5 per cent year-on-year fall, while pre-tax income
stood at SFr881 million.

The drop in net revenues was primarily driven by the partial
sale of an investment in Aberdeen Asset Management last year, and lower net
interest income, partially offset by slightly higher recurring commissions and
fees. Transaction- and performance-based revenues were stable compared to a
year ago, the Zurich-listed bank said.

Among the Wealth Management Clients unit, there was a pre-tax
income of SFr511 million, with stable net revenues of SFr2.250 billion compared
to the same quarter a year ago, reflecting higher recurring commissions and
fees and other revenues, which offset the adverse impact of the ongoing low
interest rate environment.

"Each of the division’s three businesses contributed to our strong net
new assets of SFr12.0 billion in the quarter, reflecting strong growth
in Switzerland, Asia Pacific and the Americas, partially offset by
continued outflows in Western Europe. The organizational realignment of
our integrated Private Banking & Wealth Management division is well
on track and we are confident that these efforts will allow us to serve
our clients better and more effectively and to further increase our
productivity, efficiency and returns in the coming quarters," Brady Dougan, chief executive, said in today's statement.

Other details

Within asset management, pre-tax income was SFr120 million and net
revenues were SFr533 million, “down significantly” from a year before, it said,
reflecting gains last year from the partial sale of an investment in Aberdeen.

There were net new assets across the group of SFr12.0
billion.

“Wealth Management Clients contributed solid net new assets
of SFr5.5 billion, with continued inflows from emerging markets and from the
ultra-high-net-worth individual (UHNWI) client segment, partially offset by
continued outflows in Western Europe,” the
bank said.

Over Credit Suisse as a whole, on an underlying basis, there
was a core pre-tax income of SFr2.032 billion, net income attributable to
shareholders of SFr1.462 million and return on equity of 16 per cent, it said. On
a reported basis, core pre-tax income was SFr1.822 billion, net income
attributable to shareholders was SFr1.303 billion and return on equity was 14
per cent.

At the end of the first quarter, Credit Suisse delivered
cost savings of SFr2.5 billion, excluding certain significant items.

The bank said it “remains on track to reach its total
run-rate reduction target of SFr4.4 billion by end-2015”.