Alex Widmer, head of private banking at
Bank Julius Baer, is on track to head the whole group after a
reorganisation centred on a new holding company structure. He
becomes CEO executive of Baer Bank, heading its two main divisions
– private banking and investment products.

At the same time, the Swiss bank is putting a holding structure
into place above Baer Bank, with current CEO Johannes de Gier, 63,
remaining CEO of the overall group.

The move was triggered in part by the hire of former Clariden Leu
banker Beat Wittmann earlier this year, who is building an
investment advice division for private clients within the private
bank.

Former UBS banker David Solo will remain CEO of hedge fund manager
GAM and US-based equities fund Julius Baer Investment Management,
which has $71 billion in assets. Run by New York-based fund
managers Richard Pell and Rudolph-Riad Younes, this unit is
expected to launch an initial public offering early next year
although a management buyout is also possible. Baer has indicated
that it is no longer a core part of the group.

Pzena Investment Management, a New York asset manager with $30.6
billion in client funds, went public in October in a deal that
valued it at $1.1 billion or 3.6 percent of assets. On the same
basis, the Julius Baer unit’s value would be about $2.7
billion.

The broader Baer holding company of roughly 50 people under de Gier
will still be responsible for strategy.

Widmer was originally due to become Baer’s CEO in 2005 after being
lured away from Credit Suisse. But later that year Baer bought
Ehinger & Armand von Ernst, Ferrier Lullin & Cie, Banco di
Lugano and GAM from UBS for CHF5.6 billion. Top executives de Gier
and Solo came as part of the deal, relegating Widmer for the time
being.