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STRATEGY UPDATE London, 3 June 2025
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2 Important information General This presentation by Julius Baer Group Ltd. (“the Company”) does not constitute an invitation or offer to acquire, purchase o r subscribe for securities nor is it designed to invite any such offer or invitation and neither purports to contain all of the information that you may wish to consider. Cautionary statement regarding forward-looking statements This presentation by the Company may include forward-looking statements that reflect the Company's intentions, beliefs or current expectations and projections about the Company's future results of e.g. operations, financial condition, liquidity, performance, prospects, strategies, opportunities and the industries in which it operates. Forward -looking statements involve all matters that are not historical fact. The Company has tried to identify those forward-looking statements by using the words "may", "will", "would", "should", "expect", "intend", "estimate", "anticipate", "project", "believe", "seek", "plan", "predict", "continue" and similar expressions. Such statements are made on the basis of assumptions and expectations which, although the Company believes them to be reasonable at this time, may prove to be erroneous. These forward-looking statements are subject to risks, uncertainties and assumptions and other factors that could cause the Company's actual results of e.g. operations, financial condition, liquidity, performance, prospects or opportunities, as well as those of the markets it serves or intends to serve, to differ materially from those expressed in, or suggested by, these forw ard- looking statements. Important factors that could cause those differences include, but are not limited to: changing business o r other market conditions; legislative, fiscal and regulatory developments; general economic conditions in Switzerland, the European Union and elsewhere; and the Company’s ability to respond to trends in the financial services industry. Additional factors could cause actual results, performance or achievements to differ materially. In view of these uncertainties, readers are cautioned not to place undue reliance on these forward -looking statements. The Company and its subsidiaries, and their directors, officers, employees and advisors expressly disclaim any obligation or undertaking to release any update of, or revisions to, any forward-looking statements in this presentation and any change in the Company’s expectations or any change in events, conditions or circumstances on which these forward-looking statements are based, except as required by applicable law or regulation. Financial information, estimates and assumptions This presentation may contain certain pro forma financial information. This financial information is presented for illustrative purposes only and, because of its nature, may not give a true picture of the financial position or results of operations of t he Company. Furthermore, it is not indicative of the financial position or results of operations of the Company for any future d ate or period. In preparing this presentation, the Company has made estimates and assumptions that affect the numbers presented. Actual results may differ. Annualised numbers do not take into account variations in e.g. operating results, seasonality and other factors and may not be indicative of actual results. All opinions and views constitute good faith judgments as of the date of writing without regard to the date on which the reader may receive or access the information. This information is subject to change at any time without notice and the Company does not intend to update this information. Further, the Company may not achieve all of the expected benefits of its strategic initiatives. Factors beyond its control, including but not limited to the market and economic conditions (including macroeconomic and other, e.g. geopolitical, challenges and uncertainties), changes in laws, rules or regulations and other challenges, could limit the Company’s ability to achieve some or all of the expected benefits of these initiatives. Rounding Numbers presented throughout this presentation may not add up precisely to the totals provided in the tables and text due to roundings. Third party and rating information This presentation may contain information obtained from third parties, including ratings from rating agencies such as Standar d & Poor’s, Moody’s, Fitch and other similar rating agencies. Reproduction and distribution of third-party content in any form is prohibited except with the prior written permission of the related third party. Third -party content providers do not guarantee the accuracy, completeness, timeliness or availability of any information, including ratings, and are not responsible for any err ors or omissions (negligent or otherwise), regardless of the cause, or for the results obtained from the use of such content. Third -party content providers give no express or implied warranties, including, but not limited to, any warranties of merchantability or fitness for a particular purpose or use. Third-party content providers shall not be liable for any direct, indirect, incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees, or losses (including lost income or profits and opportunity costs) in connection with any use of their content, including ratings. Credit ratings are statements of opinions and are not statements of fact or recommendations to purchase, hold or sell securit ies. They do not address the market value of securities or the suitability of securities for investment purposes, and should not b e relied on as investment advice. Alternative Performance Measures This presentation and other communication to investors contain certain financial measures of historical and future performanc e and financial position that are not defined or specified by International Financial Reporting Standards (IFRS). Management believes that these alternative performance measures (APMs) provide useful information regarding the Group’s financial and operating performance. These APMs should be regarded as complementary information to, and not as a substitute for, the IFRS results. Adjusted results are derived by excluding from the IFRS financial results the impact on operating income (new since 1 January 2025) or on operating expenses related to acquisitions or divestments of businesses or participations (i.e. M&A transactions) as well as the taxes on those respective items. The M&A-related adjustments can represent inter alia items such as gain or loss on disposal; recycling of currency translation adjustments; amortisation of acquired customer relationships; goodwill impairment charges; M&A-related restructuring costs (examples of which include employee termination benefits that relate directly to the restructuring; contract termination costs; onerous contract provisions; consulting fees that relate directly to the restructu ring; expected costs from when operations cease until final disposal); fees paid to advisers on the planning, execution, or financi ng of M&A transactions; integration-related IT or other general expenses; additional provisions set up for litigation or the recovered amount from the seller.
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INTRODUCTORY VIDEO 3
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WELCOME, INTRODUCTION AND OBJECTIVES Stefan Bollinger, CEO 4
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5 Overview of Julius Baer representatives in the room 1 Also a member of the Global Wealth Management Committee Speaker
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6 Setting the scene: Objectives for today Why a strategy update now? Share an initial perspective on the strategic direction and on the Julius Baer value creation story Address the need for an update on strategic matters and questions from the investor community Provide an overview of management priorities and progress to date – CEO’s first 5 months, Chairman’s first 5 weeks
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7 Agenda 4 Stefan Bollinger, CEO Evie Kostakis, CFOQ&A and Closing Remarks 11.00 – 12.00 2 Stefan Bollinger, CEOUnleashing the Full Potential of Julius Baer Observations | First 20 weeks | Strategic agenda and priorities 10.10 – 10.40 Welcome, Introduction and Objectives Setting the scene | Message from the Chairman1 Stefan Bollinger, CEO Sir Noel Quinn, Chairman of the Board of Directors 10.00 – 10.10 5 With all Julius Baer representativesInformal Lunch 12.00 – 14.00 3 Evie Kostakis, CFOFinancial Outlook and Targets Financial targets | Financial roadmap | Capital distribution 10.40 – 11.00
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MESSAGE FROM THE CHAIRMAN Sir Noel Quinn, Chairman of the Board of Directors 8
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UNLEASHING THE FULL POTENTIAL OF JULIUS BAER Stefan Bollinger, CEO 9
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10 A Unique Wealth Management Franchise with all the necessary ingredients to capture future opportunities Holistic and Unbiased Client Value Proposition Global Presence with Top Positions in Key Markets Attractive, Capital-light Business Model Trusted Relation- ships with Diverse Client Base Strong Brand with Swiss Heritage Holistic offering: wealth planning, investing, financing Independence ensuring unbiased client advice Open architecture with best 3rd-party and inhouse products Leading positions in Asia, Switzerland and Europe Balanced mix of established and growth markets 7 booking centres, about 60 locations in 25 countries Highly liquid balance sheet of CHF 105bn1 High share of recurring income of ~45%1 Superior, sector-leading RoCET1 of ≥30%2 Long-standing relation- ships across generations Balanced mix of HNW and UHNW clients Well-diversified client base across geographies Home market Switzerland as competitive advantage Family heritage as strong connector to clients History of 135 years, 90+ years of uninterrupted profitability Observations First 20 weeks Strategic agenda and priorities 1 As of end 2024 | 2 Consistently over the past 5 years; excluding loan loss allowances against the Group’s single largest exposure in private deb t in 2023
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11 Strong and stable business model, but some performance challenges especially since 2022 NNM growth rate p.a., % Operating leverage2, % pt. 5.9 7.7 -0.1 -0.7 0.91.2 -1.0 3.5 3.2 4.0 3.6 -2 0 2 4 6 8 0.4 2019 2020 2021 2022 20233 2024 2.8 3.5 4.5 1.8 2.9 3.3 2019 2020 2021 2022 2023 2024 Ø 3.61 Ø 2.71 -0.7 +7.0 +4.2 -3.3 -4.8 -2.7 Required tightening of risk management framework • Credit incidents affected the bank’s reputation • Remediation measures absorbed senior management attention Sluggish net new money growth • Average growth rate in 2022-2024 at 2.7%, below period of 2019-2021 at 3.6% • Emphasis on profitability to deliver short-term bottom-line growth, at the expense of building NNM for longer-term top-line growth Negative operating leverage over past 3 years • 2021-2024 operating income flat vs. adj. operating expenses increasing at 3-4% per annum; +7% pt. increase in adj. cost/income ratio • Material negative impact on adj. cost/income ratio from CHF appreciation since 2022 Operating income growth Adj. operating expenses growth Underperformance against financial targets set in 2022 for the 2023-2025 cycle Observations First 20 weeks Strategic agenda and priorities 1 Average NNM growth rate over the period calculated as the average of the annual NNM growth rates | 2 Operating leverage calculated as operating income YoY growth minus adjusted operating expenses excluding provisions and losse s YoY growth 3 Excluding loan loss allowances against the Group’s single largest exposure in private debt in 2023
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Strong position in (U)HNW with significant wallet share potential, but segmentation needs sharpening Excellent client base and broad offering shelf, but underpenetration in key products and solutions Attractive geographic footprint with untapped potential, but lack of focus and underinvestment Prime talent, but held back by organisational complexity and silos – overreliance on external staff Significant potential to enhance digital client experience – upgrades and scale in IT infrastructure needed Cost, growth and risk out of balance – self-imposed cyclical performance Opportunity to rein in costs through more disciplined and efficient business operations 12 Observations from first 20 weeks: Multiple Pressure Points, but Significant Potential to Unleash Enduring client focus Back-to-the-roots, technology-enhanced Disciplined entrepreneurship Performance and ownership-led culture Prime spot for prime talents Five Principles Guiding our Actions Observations First 20 weeks Strategic agenda and priorities Excellent track record in hiring senior external RMs, but insufficient NNM contribution from seasoned RMs
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Observations First 20 weeks Strategic agenda and priorities 13 Focus of first 20 weeks: Addressed Key Pressure Points and identified Strategic Priorities In parallel: Undertook Strategy Review Process to define Strategic Agenda and Priorities Key Pressure Points Addressed ✓ New top management structure: reduced ExB, new Global WM Committee ✓ New Risk Organisation1 and leadership ✓ Reduction from 5 to 3 Regions ✓ Creation of Global Products & Solutions ✓ Strengthening of COO function incl. new Digital Business Transformation Governance and Management Changes ✓ Regular and constructive dialogue with regulators ✓ Holistic risk assessment including review of credit books, AML and review of operational risk/strategic IT infrastructure ✓ Strengthening of first line of defence ✓ Launch of Conduct and Culture Programme Risk Management Review ✓ New front office operating model ✓ Setup of UHNW Competence Centre ✓ Launch of IT infrastructure modernisation project in Switzerland ✓ Extension of ongoing cost programme by CHF 110m2; CHF 20m overachievement ✓ Exit Brazil onshore, entry Italy onshore Sharpened Operating Model and Footprint Detailing initiatives and execution roadmap 1 Ivan Ivanic will take over as new Chief Risk Officer effective 1 July 2025. All legal, and pro tem compliance, functions consolidated under the office of the Group General Counsel | 2 Previously communicated in February 2025
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Observations First 20 weeks Strategic agenda and priorities 14 Selected measures to date #1: New Top Management Structure for faster decision-making and increased client focus Executive Board Global WM Committee ExB reduction from 15 to 5 members4 New risk organisation, delineating risk, legal and compliance Reduction from 5 to 3 Regions New Region Western Markets & Switzerland Creation of new GPS unit CIO Office as separate independent function Board of Directors Chairman: Sir Noel Quinn Chief Executive Officer Stefan Bollinger Regions Chief Risk Officer Ivan Ivanic1 Chief Financial Officer Evie Kostakis Chief Operating Officer Nic Dreckmann Group General Counsel2 Christoph Hiestand Executive Board (ExB) Products and Solutions Honorary Chairman Raymond J. Baer Chief Compliance Officer3 Asia Jimmy Lee Western Markets & Switzerland Thomas Frauenlob, Carlos Recoder Emerging Markets Rahul Malhotra Global Products & Solutions (GPS) Luigi Vignola, Rajesh Manwani CIO Office Yves Bonzon 1 Ivan Ivanic will take over as new Chief Risk Officer effective 1 July 2025. Current Chief Risk Officer Oliver Bartholet will retire at the end of 2025 | 2 All legal, and pro tem compliance, functions consolidated under the office of the Group General Counsel 3 As announced in the IMS 4M 2025, an additional new Compliance function will be established. The Chief Compliance Officer will report to the CEO and be part of the ExB – subject to regulatory approvals. Search for new Chief Compliance Officer initiated 4 ExB to increase to 6 members with appointment of new Chief Compliance Officer
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15 Selected measures to date #2: New Front Operating Model to increase client focus, simplify the organisation and strengthen first line of defence Key benefits Increased focus on clients and growth Group Heads as producing managers and de-loading of admin tasks Simplified front office organisation Delayering and consolidation of front office and support teams Strengthened accountability/ first line of defence Allocation of risk and support resources directly to teams Former Team Heads Former Group Heads Market Heads ~145New Group Heads ~50 ~160 Combination Headcount ~20 ~1,2251 Front Support Risk and support FTE reassigned from central functions directly to front office teams ~100 Reduction of front office leadership positions-33% Observations First 20 weeks Strategic agenda and priorities Relationship Managers excl. inflow-generating Group Heads 1 April 2025 pro-forma total number of Relationship Managers after implementation of new front operating model at 1,317, including 65 inflow-generating Group Heads and 27 further adjustments currently in progress Assistant Relationship Managers Team Business Managers Front Risk Managers
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16 Our Strategic Agenda and Priorities Leveraging Technology Performance and Ownership Culture Underpinned by a Disciplined Resource Allocation IV V Profitable Growth in the Core Business Sharp client segmentation Strengthened top positions in core geographies Enhanced product offering I Operational Efficiency and Cost Discipline Leaner and flatter, client-focused organisation Optimisation of processes front-to-back Smart sourcing and cost discipline II Disciplined Risk and Compliance Management Clearly defined perimeter of our core wealth management business Culture of disciplined risk ownership Refocused risk organisation and risk- based approach in the core business III Aspiration: Unleashing the Full Potential of Julius Baer Observations First 20 weeks Strategic agenda and priorities
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Sharp client segmentation Enhanced product offering Strengthened top positions in core geographies What needs to change Front productivity and hirings 17 I. Profitable Growth in the Core Business Observations First 20 weeks Strategic agenda and priorities I Unique portfolio of HNW and UHNW clients Independent and unbiased proposition Strong positions in key geographies Excellent client relationships All the ingredients to drive growth Enabling factors: focus, collaboration and discipline
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I. Profitable Growth in the Core Business #1: Sharp client segmentation UHNW Competence Centre, central client engagement team Head UHNW also co-running largest Region and Intermediaries Integration of Global Custody into UHNW offering and coverage model New GPS unit to better serve HNW and UHNW clients 18 First steps taken Significant wallet and market share potential with HNW and UHNW & FO clients I Joint set of value drivers across both segments Independence | Holistic wealth planning proposition | Broad offering and global coverage • Proactive management of cross- generational asset transfer • Higher penetration of discretionary solutions, improved access to alternatives • Technology-supported servicing, focus on convenience and efficiency 55%1 HNW clients • Focused coverage/deal teams, priority access and processes • Scaling of wealth planning, outsourced CIO services, active advisory • Upgrades to reporting, professional trading tools, connectivity services 45%1 UHNW & FO clients2 Observations First 20 weeks Strategic agenda and priorities 1 Share of Assets under Management, as of end 2024 | 2 Definition of UHNW clients: Assets under Management with Julius Baer of CHF 50m or above and/or CHF 250m of bankable assets o r above
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19 I. Profitable Growth in the Core Business #2: Enhanced product offering Building on strengths: holistic offering and open architecture Creation of new Global Products and Solutions unit Independent CIO Office Private label fund offering in Luxemburg First steps taken Wealth planning and outsourced CIO Structured products & hedging solutions Discretionary and advisory mandates • Integration into discretionary mandates: unconstrained and standard • Extended advisory shelf: open-ended private market funds, hedge fund feeders • Increased penetration of structured products, usage of hedging solutions • Data-driven tailored investment opportunities • Higher adoption of wealth planning solutions • Scaling of outsourced CIO services • Higher penetration of discretionary and core-satellite solutions • Transition into high-end advisory mandates Alternatives Opportunity for higher penetration of key products and solutions I Euromoney Private Banking Award 2025 “Global Best for Discretionary Portfolio Management” for the second year in a row Observations First 20 weeks Strategic agenda and priorities
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20 I. Profitable Growth in the Core Business #3: Strengthened top positions in core geographies Key strategic priorities Bolster position in Switzerland • Uniquely positioned to capitalise on growth potential in our home market • Prime partner for private clients and FOs with an international perspective Expand presence in core Western European markets • Profitable in UK and Germany, now focus on scale-up • Drive growth in Southern Europe: dynamic Iberia franchise, new Italy branch Double down on high-growth markets: Middle East and Asia • Capitalise on rapid growth in Middle East, new advisory office in Abu Dhabi • Building strong pan-Asian presence out of hubs Hong Kong and Singapore 15% 32% 26% 12% 15% Switzerland Western Europe Asia Middle East Other3 AuM by client domicile2 Europe • Switzerland • United Kingdom • Germany • Iberia (Spain, Portugal) Middle East and Asia • Middle East • Hong Kong • Singapore • India (onshore, global NRI) Current focus markets Exited Brazil onshore1 Entered Italy onshore New Region Western Markets & Switzerland First steps taken Attractive geographic presence and excellent positioning to expand market share I Observations First 20 weeks Strategic agenda and priorities Various wins at 14th Asian Private Banker Awards for Distinction 20244, amongst them Best Private Bank – Pure Play, Best Private Bank – Global Indians 1 Continued servicing of market Brazil out of Switzerland; reclassification of market Brazil from focus to standard market with the sale of the onshore operations | 2 As of 30.04.2025 | 3 Including Latin America and CEE | 4 Fifth win of Best Private Bank – Pure Play, fifth consecutive win of Best Private Bank – Global Indians. Other wins: Best Pure Play Private Bank – Discretionary Portfolio Management (third win), Best International Private Bank – Thailand (third consecutive win); highly commended for Best Private Ban k Singapore – HNW, Best Private Bank – India
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21 II. Operational Efficiency and Cost Discipline • Growth drivers: client segmentation, product offering, geographic footprint, front productivity • +1% pt. net new money growth p.a. over 2026-2028 leads to improved adj. cost/income ratio of -0.7% pt. by 2028 • Leaner and flatter, client- focused organisation • Accelerated near- and off-shoring • Re-engineering of processes front-to-back • Cost discipline, consistent execution and delivery • Smart sourcing and external spend reduction • Streamlined IT application landscape Restoring operating leverage 1 Revenues 3 General expenses 2 Personnel cost II First steps taken Streamlined top management structure, e.g. reduced Executive Board, consolidated regional setup, new GPS unit Ongoing review of front-to-back operating model, including underlying processes Update on Cost Programme ✓ Extended by CHF 110m in Feb 2025 ✓ Cost measures largely implemented in H1 2025, expected over- achievement of CHF ~20m • Targeting additional gross cost take-out of CHF ~130m by 2028 Reining in costs on top of driving profitable growth to restore operating leverage Observations First 20 weeks Strategic agenda and priorities
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III. Disciplined Risk and Compliance Management Review of credit books Review of operational risk/ strategic IT infrastructure New risk organisation and strengthened first line of defence Initiated search for new Chief Compliance Officer Launch of Conduct and Culture Programme 22 Refocused risk organisation and first line of defence Apply a risk-based approach to processes Clearly defined perimeter of our core wealth management business First steps taken Commitment to reliable risk and compliance management as a cornerstone of our business III Tighter scope of business activities – focus on wealth management relationships in the context of lending activities Culture of disciplined risk ownership Introduction of a more balanced front office compensation model, Conduct and Culture Programme with strong tone from the top New risk organisation delineating risk, legal and compliance functions and strengthened ownership of first line of defence Procedural differentiation to improve client experience and focus on highest risk areas Observations First 20 weeks Strategic agenda and priorities
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23 VIDEO: TECHNOLOGY & DIGITAL
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24 IV. Leveraging Technology Harmonise and scale the IT infrastructure Foundation and enabler for digitally empowered client and RM interaction Empower the Relationship Manager Integrated and smart, AI-assisted tools to increase service quality Enrich the client experience Seamless client experiences along client journeys Integrated Wealth Navigator Banking EngagingInvesting Principal process system Client Lifecycle Management AI and real-time data Main investment areas 2026-2028 Outcomes and benefits • Platform scalability, resilience • Faster pace, lower cost of technology delivery • RM productivity and operating leverage • Reliable risk management • Client activation • Client satisfaction + + Launch of IT infrastructure modernisation project in Switzerland New Digital Business Transformation unit First steps taken Building for growth: scaled and harmonised infra- structure, unified client and RM experience Observations First 20 weeks Strategic agenda and priorities IV
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25 V. Performance and Ownership Culture Internal talents to new and expanded senior roles Launch of strategy review process Initiated review of front compensation model First review of share participation plan First steps taken Empowering our talents to foster a client-centric culture that propels growth Observations First 20 weeks Strategic agenda and priorities V Enduring client focus Back-to-the-roots, technology-enhanced Disciplined entrepreneurship Performance and ownership-led culture Prime spot for prime talents Five Principles Guiding our Actions “One team” approach Overcoming organisational silos: cross-functional and global collaboration to achieve optimal client outcomes Employer of choice Hiring the best talent in the market, systematic internal development with clear career paths and internal mobility Mindset of an owner Empowering Julius Baer employees to think and act like owners, reinforced by broader employee share participation Proud to be Baer Renewed trust in own capabilities, reclaiming of core competencies and rationalisation of external workforce
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26 Resulting new financial targets 2026-2028 Financial targets 2026-2028 Net new money growth Adjusted cost/income ratio Adjusted RoCET1 4-5% by 2028 <67% by 2028 >30%2 2026-2028 cycle 3.3% 2024 70.9% 2024 30-34%1 2022-2024 Observations First 20 weeks Strategic agenda and priorities Note: Assuming no major deterioration in markets 1 2023 based on adjusted net profit excl. loan loss allowances against the Group’s single largest exposure in private debt | 2 Assuming a constant 14% CET1 ratio (capital distribution policy available on slide 35)
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27 Next phase: Detailing Strategic Initiatives and Disciplined Execution Observations First 20 weeks Strategic agenda and priorities Striking the right balanceCreating value for shareholders: repeatable and predictable performance Reliable execution Focused and client-driven organisation Disciplined risk management Tight cost discipline Sustainable growth Growth Return Cost Risk Next phase: Detailing of initiatives and execution roadmap
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FINANCIAL OUTLOOK AND TARGETS Evie Kostakis, CFO 28
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Financial targets 2026-2028 29 Financial targets 2026-2028 Key input factors • USD/CHF 0.80 • EUR/CHF 0.94 • Adj. gross margin ~80bp, o/w 37-39bp recurring income margin • AuM performance1 ~2% p.a. • Credit penetration stable2 Financial targets Financial roadmap Capital distribution Net new money growth Adjusted cost/income ratio Adjusted RoCET1 4-5% by 2028 <67% by 2028 >30%4 2026-2028 cycle 3.3% 2024 70.9% 2024 30-34%3 2022-2024 Note: Assuming no major deterioration in markets 1 Market performance plus currency impacts | 2 Based on end 2024 level | 3 2023 based on adjusted net profit excl. loan loss allowances against the Group’s single largest exposure in private debt | 4 Assuming a constant 14% CET1 ratio (capital distribution policy available on slide 35)
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30 NNM to gradually increase to 4-5% growth rate by 2028NNM growth rate p.a. Enhanced productivity of seasoned RM base • Enhanced focus on client acquisition and share of wallet expansion, by de-loading administrative tasks • Inflow-generating share of producing front office leaders focusing on new business generation Continued sustainable hiring and cultivation of next generation of RM talent • High-quality hiring of proven RMs, associated with rigorous business case guardrails. Expected ~150+1 gross RM hires p.a. mainly in focus markets • Build-up of RM talent (e.g. Associate RM programme) supporting seasoned RMs succession planning and shaping next generation of client relationships Strategic priorities across entire RM population • Sharpened client segmentation and expanded product capabilities • Market share potential in focus markets 2024 2025E 2028E 3.3% ~3.0% 4-5% 2026E 2027E Financial targets Financial roadmap Capital distribution 1 Excluding Associate RMs Delivering consistent NNM growth
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Total gross cost take-out of CHF 260m 2024 Cost savings Further efficiency measures 2028EGrowth investments (incremental revenues) Growth investments (incremental cost) Non- steerable cost growth Portfolio optim. (revenue reduction) Portfolio optim. (cost take-out) 70.9 ~ -3.5 ~ -3.5 ~ -1.0 ~ 0.5 ~ 6.0 ~ 3.5 ~ -6.5 <67 A B D A B D E Previously communicated cost programme on track, with CHF ~20m overachievement expected Further structural efficiencies unlocked • Efficiency measures targeting CHF ~130m gross cost take-out by 2028 • Cost-to-achieve ~50% Portfolio optimisation including net impact from sale of Brazil domestic business Non-steerable cost growth due to contractual obligations and committed IT initiatives Re-investments into business growth, e.g. through… • RM hiring • Expanding office network in focus markets …and revenue initiatives including • Segment-specific pricing • Extension of advisory shelf • Revenue wallet-share capture Path to <67% adj. cost/income ratio by 2028 Adj. cost/income ratio, % C C 31 Financial targets Financial roadmap Capital distribution E Driving structural and sustainable operating leverage
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32 Delivering on cost programmes Fiscal year savings2 Cost-to-achieve, per year Cost-to-achieve, cumulative 45 130 140 110 2023 10 2024 2025E 140 ~270 ~2003 ~65 ~104 23 15 15 97 24 39 1 previously communicated savings on track completed in 2024 expected overachievement201 2025 CHF 110m cost programme extension fully on track with CHF 20m overachievement (CHF 130m run rate savings). Cost measures largely implemented in H1 2025: Optimisation of front operating model • Delayering of management structure • Streamlining of front support model Cumulative gross run-rate savings, CHFm Strong track record on cost programmes delivery Simplification of organisational structure • Streamlined regional set-up (3 Regions, down from 5) • Combined and strengthened Global Products & Solutions organisation • Consolidation of functions under leaner COO organisation 2024 CHF 130m cost programme completed with CHF 10m overachievement (CHF 140m run rate savings) Additional CHF 130m structural efficiency improvements by 2028 (see next slide) overachievement Financial targets Financial roadmap Capital distribution 1 Fully benefitting P&L after 2025 | 2 Programme savings build-up reflected in financial results | 3 CHF 140m from executed measures in 2023-2024, plus CHF ~60m from 2025 extended programme
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Further structural efficiency improvements 33 Delayering and structural synergies in mid- and back office units Accelerated near- and off-shoring for non- front operations, diversifying CHF cost base Re-evaluation of footprint and selected ancillary business propositions Re-design and simplification key front-to-back processes Productivity-enhancing AI solutions, e.g. content production, risk monitoring Streamlining and consolidation IT application landscape Rationalisation of external spend in procurement and improved demand control Stringent low performer management front-, mid- and back office Targeting additional gross cost take-out of CHF ~130m by 2028, cost-to-achieve 50% Completion of front-to-back operating model optimisation Cost discipline and performance culture Process and IT simplification Financial targets Financial roadmap Capital distribution
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34 Sensitivities to selected beta factors Exchange rates1 Estimated approx. impact by 2028 Macro outlookInterest rates2 Estimated impact on gross margin (bp) • Global economic growth and wealth generation • Geopolitical context (US, China, Russia, EU, Middle East) • Political and regulatory environment Stronger USD and EUR have a positive impact on operating income and adj. cost/income ratio Proxy sensitivity Impact on adj. cost/income ratio USD/CHF +10% -2% pt. -10% +2% pt. EUR/CHF +10% -0.7% pt. -10% +0.7% pt. Interest rate sensitivity assuming -100 bp parallel downward shift2 based on stable balance sheet and AuM (as of April 2025) [x]$ € -4 0 -4 +3 +5 -1 CHF -1 -1 +2 Net interest income Treasury swap income3 Main factors impacting interest-driven income: • Volumes and repricing frequencies of balance sheet positions, including amount of call/term deposits • Balance sheet currency mix for split between NII and FX swap income • Treatment of potentially negative rates (e.g. SNB exemption threshold, negative rate pass-through to clients) Financial targets Financial roadmap Capital distribution 1 Impact on adj. cost/income ratio from +/-10% move in exchange rates vs. Swiss franc relative to USD/CHF 0.80 and EUR/CHF 0.94 pl anning assumption. Focus of sensitivity on primary income effects for changes in FX rates of EUR and USD (without HKD) 2 Annualised impact on gross margin from instantaneous 100 bp parallel shift in interest rates, based on estimated change in net interest income and treasury swap income, and on stable interest rates, balance sheet, and AuM as of April 2025. USD incl. HKD 3 Treasury swap income is included in net income from financial instruments measured at FVTPL
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Cumulative dividends1 2022-2024CHF 1.6bn Adjusted RoCET12 Average, 2022-202432% Basel 3 Final CET1 capital ratio3,4 April 202515.2% 53% Dividend payout ratio2 Average, 2022-2024 10% Dividend per share growth 2015-2024, CAGR 35 Capital distribution – Execution subject to regulatory approval Excess capital ~14% Buy-back threshold 11% Group floor 8.3% Regulatory minimum Dividend per share Progressive policy: Highest of ~50% adjusted net profit and prior year’s dividend (unless justified by significant events) Share buy-backs Meaningful excess above ~14% CET1 capital ratio at year-end Distribution via share buy-back programme • Highly capital-generative business model • Basel 3 Final framework fully implemented in Switzerland • Progressive dividend Risk density3 ~24% end-2024 ~22-24% expected over 2025-2028 Strong capital return policyCET1 capital ratio Distribution via share buy-back programme to be considered following appropriate regulatory approvals from FINMA Financial targets Financial roadmap Capital distribution 1 Proposed for and accrued during financial year | 2 2023 based on adjusted net profit excl. loan loss allowances against the Group’s single largest exposure in private debt | 3 CHF 1.7bn impact on RWA operational risk from 2015 US DOJ settlement will be rolled of at end 2025 | 4 CET1 capital ratio 16.3% on a look-through basis excl. US DOJ settlement
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Q&A Stefan Bollinger, CEO Evie Kostakis, CFO 36
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37 Wrap-up of the day and Closing Remarks Unique franchise with strong underlying business potential Significant progress since January – solid foundation for transformation ahead Balanced strategy: profitable growth, risk management, cost discipline Realistic medium-term financial targets Strong focus on execution discipline and outcomes Whole team being mobilised around strategic agenda and priorities
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APPENDIX 38
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• Adjusted results are derived by excluding from the IFRS financial results the impact on operating income (new since 1 January 2025) or on operating expenses related to acquisitions or divestments of businesses or participations (i.e. M&A transactions) as well as the taxes on those respective items • The M&A-related adjustments can represent inter alia items such as – gain or loss on disposal – recycling of currency translation adjustments – amortisation of acquired customer relationships – goodwill impairment charges – M&A-related restructuring costs (examples of which include employee termination benefits that relate directly to the restructuring; contract termination costs; onerous contract provisions; consulting fees that relate directly to the restructuring; expected costs from when operations cease until final disposal) – fees paid to advisers on the planning, execution, or financing of M&A transactions; integration-related IT or other general expenses – additional provisions set up for litigation or the recovered amount from the seller Scope of presentation of financial results and financial targets As in previous years, financial results, analysis and certain targets are presented on an adjusted basis 39
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APMs and other definitions used in presentation APMs (Adjusted) gross margin (Adjusted) operating income divided by monthly average assets under management. Adjusted cost/income ratio Adjusted operating expenses excluding adjusted provisions and losses, divided by operating income. Adjusted return on common equity tier 1 (RoCET1) Adjusted net profit attributable to shareholders of Julius Baer Group Ltd., divided by the (half-yearly) average CET1 capital. Dividend pay-out ratio Total dividend distribution amount divided by adjusted net profit attributable to shareholders of Julius Baer Group Ltd. 40 Assets under management (AuM) All bankable assets managed by or deposited with the Group for investment purposes. Assets included are portfolios of wealth management clients for which the Group provides discretionary or advisory asset management services. Assets under management take into account client deposits as well as market values of securities, precious metals, and fiduciary investments placed at third-party institutions. Assets with discretionary mandate Assets for which the investment decisions are made by the Group, and include assets deposited with the Group as well as assets deposited with a third-party institution. Net new money (NNM) In- or outflows attributable to new clients, departed clients and existing clients, calculated by the direct method, which is based on individual client transactions. New or repaid loans to clients and related interest expenses result in net new money flows. Interest and dividend income from assets under management, market performance and currency impacts as well as fees and commissions are not included in the net new money result. Generally, reclassifications between assets under management and assets under custody result in corresponding net new money in- or outflows. Net new money growth rate Net new money as a percentage of assets under management at the end of the previous period. Other definitions Recurring income Total of income statement items “advisory and management fees” and “commission and fee income on other services”. Market performance Market performance is determined through the change in AuM that remains after accounting for net new money, currency impacts, acquisitions/(divestments) and other effects (if any). Currency impacts Currency impacts is determined by applying the changes in the currency exchange rates in the period to AuM at the end of the preceding year.