By Ed Frankl

 
Julius Baer Group's chief executive officer will step down after it reported major losses related to its exposure to Austria's Signa Group.
 
The Swiss wealth manager said Philipp Rickenbacher would step down with Nic Dreckmann, current deputy CEO and chief operating officer, to become interim CEO while the board looks for a replacement.
 
This comes as the company's full-year 2023 results were hit by net credit losses of 606 million Swiss francs ($703 million), including a single loan-loss allowance of CHF586 million for the largest private debt exposure disclosed in November last year. Julius Baer didn't name the client, but the loans were widely reported as backed by Austrian property group Signa, once steered by tycoon Rene Benko.
 
Signa filed for insolvency late in 2023.
 
For the full year, Julius Baer made a profit of CHF454 million, down 52% compared with the prior year, and declared a dividend of CHF2.60.
 
Write to Ed Frankl at [email protected]