Multi-asset investment specialist Saxo Bank today reported its financial results for the first half of 2022.

The Saxo Bank Group reported a net profit of DKK 302 million for the first six months of 2022, compared to DKK 512 million for the same period last year. Total income for the Saxo Bank Group amounted to DKK 2,145 million for the first six months of 2022 compared to DKK 2,435 million for the same period last year.

Despite a decrease in trading and market activity, the net inflow of new clients continued in the first half of the year, which brought the total number of clients to 874,000 as of 30 June 2022, which is up from 790,000 at the same point last year.

The total client assets still decreased to DKK 591 billion compared to DKK 595 billion last year, mainly driven by the decline in the equity market but partly offset by positive net funding from clients.

The cost level remained almost unchanged, not least driven by the postponement of the completion of the BinckBank migration, which has added cost and complexity in running two parallel infrastructures.

Commenting on the results, Kim Fournais, CEO and Founder of Saxo Bank, said:

“The challenging market conditions with a negative trend in the global equity markets, high inflation, and increasing interest rates underlines the importance of supporting our growing client base with inspiring and educational content – not least within risk management as we saw the dramatic end to an almost decade-long bull market. We have for a long time communicated actively about the risk of much higher levels of inflation and the negative implications of the largest financial experiment – negative rates and quantitative easing – which is now coming to an end.

Our strategic focus remains unchanged as we maintain our dedication to rolling out new relevant products and finalising the migration of BinckBank. However, given the current market conditions, actions have been initiated to adjust the cost structure to the lower activity level in the market”.

The company forecasts:

“The Saxo Bank Group hereby specifies the full-year 2022 guidance to a level around DKK 600 million Net Profit, the low end of the previously guided Net Profit range”.