SNB confirms record level currency profits

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SNB confirms record level currency profits

The Swiss National Bank (SNB) has released its annual figures for 2017, confirming a profit of CHF54.5bn (€47.2bn), of which CHF49.7bn (€43bn) on foreign currency positions.

The SNB now holds CHF760bn (€658bn) franc’s in foreign currency investments, which range from government bonds to blue chip stocks. The central bank, whose primary objective is price stability of the Franc, has increased its allocation to foreign currency investments by about CHF94.000 (€81.400) over the past year.

The annual figures also reveal that the central bank made more than CHF2bn (€1.73bn) in profits on negative interest charged on sight deposit account balances, suggesting that Swiss investors continue to be inclined to hold a significant amount of their assets in cash.

The figures are in line with earlier forecasts revealed by the SNB in January, it enables the central bank to allocate a dividend in line with the legal maximum of CHF15 (€13) per share whilst distributing CHF1bn (€0.86bn) to the Confederation and Cantons.

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