Julius Baer CEO’s Turnaround Hampered by Fresh Loan Book Blow

Five months into his job, Julius Baer Group Ltd. Chief Executive Officer Stefan Bollinger is struggling to stop the bank’s past troubles from spoiling his plans to boost profitability.

An ongoing review carried out by the Swiss wealth manager into its loan book found that bigger buffers against default were needed, resulting in a hit of 130 million Swiss franc ($158 million), it said in a statement late Tuesday, confirming an earlier Bloomberg report. The firm also replaced its chief risk officer and is seeking to hire a chief compliance officer, who will join the lender’s executive board, it said.