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EFG International AG, the Swiss private bank controlled by billionaire Spiro Latsis and his family, plans to eliminate 200 jobs to help cut costs by 30 million Swiss francs ($29 million) through 2016 to stem a drop in profit. Operating income and the revenue margin remain below expectations, with second-half underlying net profit seen declining from the previous six months, the Zurich-company said in a statement on Monday. Net new money grew at an annualized rate of 8 percent between July and October, with increases in all regions except the Americas. “Attracting net new money and growing assets under management is positive, but not if it comes at the expense of margins and profits,” Andreas Venditti, an analyst at Vontobel Holding AG in Zurich, said in an e-mailed note to clients. Venditti has a hold rating on the stock. EFG was up almost 2 percent at 10.35 francs as of 10:11 a.m. in Zurich, while the Bloomberg Europe Banks and Financial Services Index was little changed. By Giles Broom (Bloomberg). Read more.
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