«Die Qualität unseres Wachstums hat sich verbessert.»

Mr Monstein, VP Bank's net income rose by over 150% to CHF 47 million. How much of this is due to structural improvements – and how much is a catch-up effect after a weak previous year?

Urs Monstein: The increase in net income is primarily the result of a clear improvement in operating performance. I wouldn't call it a catch-up effect. Of course, the positive market performance supported the result, and there were some one-off effects. However, the decisive factor is that we have substantially increased our efficiency. Compared with the previous year, we have reduced costs by 8.9 per cent and at the same time increased total operating income by 2.1 per cent.

How would you describe the environment in which this good result was achieved?

The environment was challenging and characterised by several opposing factors. As expected, falling interest rates had a negative impact on our net interest income. At the same time, we were able to offset this development with stronger commission and services business and solid trading activities. Both areas benefited from buoyant markets and increased customer activity. Negative exchange rate effects, on the other hand, had a dampening effect on the reported result. Overall, it is clear that our diversified business model is resilient even in a challenging environment and that we were able to further strengthen our earnings base.

Operating costs have fallen significantly. In which areas were the most savings made?

The cost reduction is not limited to individual areas. We have achieved savings in both personnel and material costs. In addition, there have been lower levels of depreciation and amortisation. The key point is that these savings are the result of structural efficiency improvements and not short-term actions. We have simplified processes, sharpened priorities and consistently focused our resources on strategically relevant areas.

The net new money inflow amounted to CHF 1.2 billion. Where did this growth primarily come from – existing markets or new customer segments?

The quality of our growth has improved. While the net new money inflow in the previous year came mainly from Asset Servicing, growth is now much more broadly based. The development in the intermediary business and at our sites in Liechtenstein and Switzerland is particularly encouraging. This shows that our market position in the core markets is taking effect and that we are able to gain market share in a targeted manner. Our focus is now on achieving sustainable positive growth in new money in private banking as well.

Assets under management rose by 5.8%. How much of this was market performance and how much was genuine organic growth?

Market performance accounted for 3.5 per cent and net new money for 2.3 per cent. This shows that growth was not only market-driven but also based on organic growth.

The liquidity coverage ratio is over 180 per cent. How actively do you manage your balance sheet to stabilise margins in a falling interest rate environment?

With a liquidity coverage ratio of over 180 per cent, we have a very comfortable liquidity position. This strength gives us stability and strategic leeway. However, it is not only the level of liquidity that is crucial, but also its targeted management. We actively manage the loan-to-deposit ratio and our treasury portfolio in order to maintain a balanced relationship between liquidity, risk and return. In 2025, we focused in particular on the loan portfolio. The volume remained largely stable, while at the same time we were able to increase profitability.

What are your strategic priorities for 2026: further cost management, growth in your core business or the development of new sources of income?

2026 will clearly be dominated by profitable growth. Our focus will be particularly on private banking. We are committed to targeted and differentiated market development, structured client portfolio planning and the consistent further development of our sales organisation. The objective is to increase growth not only quantitatively, but above all qualitatively, and to create sustainable added value for our clients.

Liechtenstein has a strong international focus. In the current trade policy environment, do you see risks for cross-border asset flows – or could political uncertainty even lead to additional inflows into stable financial centres?

The strength of stable financial centres is particularly evident in a challenging geopolitical and trade policy environment. Liechtenstein offers a very solid foundation with the Swiss currency, a reliable and predictable regulatory framework and an AAA rating. Experience shows that political and economic uncertainty not only leads to caution, but often also to increased demand for stability, legal certainty and long-term reliability. In this context, we see opportunities for the Liechtenstein financial centre, but also for VP Bank with our extensive experience in cross-border wealth management.

You are looking ahead to 2026 with significantly improved results. How robust is your outlook if the conflict between the US/Israel and Iran continues to escalate and the financial markets remain volatile?

This undoubtedly presents challenges, but it also opens up opportunities in certain phases. The key thing is that we have established a robust business model. Regardless of external developments, we are continuing to pursue our strategic path with caution and consistency. Our focus is clearly on providing reliable support to our clients.

Geopolitical tensions often lead to a flight to safe havens such as the Swiss franc. Is a stronger franc more of a tailwind for VP Bank due to higher asset inflows, or a headwind due to currency effects on corporate earnings?

A stronger Swiss franc is primarily a challenge for us. Most of our costs are incurred in Swiss francs, while a significant portion of our corporate earnings is generated in foreign currencies. Accordingly, appreciations of the franc tend to have a dampening effect on reported corporate earnings. At the same time, a strong franc can enhance the attractiveness of our financial centre in periods of increased uncertainty.