Swiss private bank acquires Danish online broker, gaining a new digital platform and access to new customer segments.
Swiss private bank J. Safra Sarasin acquires majority stake in Danish online broker Saxo Bank.
The consolidation of the Swiss banking industry gains momentum as Basel-based private bank J. Safra Sarasin acquires a 70% stake in the Danish Saxo Bank, a digital bank based in Copenhagen with international operations, including in Switzerland.
J. Safra Sarasin acquires the stake from Chinese Geely and Finnish financial services provider Mandatum, which sold its 19.8% interest in Saxo Bank for approximately 319 million euros. The total amount paid by J. Safra Sarasin for the stake is estimated to be around 1.06 billion Swiss francs.
Sarasin: Integration of Saxo platform
The two banks will continue to operate independently, maintaining their respective brands. Kim Fournais, who founded Saxo Bank in 1992, will remain as the bank’s CEO and retain about 28% ownership. J. Safra Sarasin plans to integrate Saxo Bank’s digital platform into its wealth management services, signaling a significant step forward in digitalization for the private bank.
J. Safra Sarasin is a renowned wealth manager catering to affluent individuals and institutions, managing around $247 billion, while Saxo Bank, with approximately $118 billion in assets under management, is known for its innovative digital trading platform. With a combined total of $365 billion in managed assets, J. Safra Sarasin solidifies its position as the third-largest private banking group in Switzerland, behind Julius Bär and Pictet.
In a statement, the group’s chairman referred to the acquisition as a significant milestone, opening up new avenues for expansion and enhancing the bank’s competitiveness.
Together, the bank group employs around 4850 staff to serve clients in Europe, Latin America, Asia, and the Middle East. The transaction is subject to approval by the Swiss Financial Market Supervisory Authority and other regulatory bodies.
The acquisition of Saxo Bank could signal the beginning of cross-border consolidation in the Swiss banking sector. Previous transactions have primarily focused on the domestic market and were relatively small in scale. J. Safra Sarasin has been a recurring name in takeover speculations.
Saxo: Systemically Important in Denmark
While Saxo Bank is relatively small in Switzerland with a banking license and a presence in Zurich with around forty employees, it is considered systemically important in its home country of Denmark, serving over a million customers. J. Safra Sarasin’s interest lies not only in the additional customers but also in the advanced technology offered by Saxo.
Saxo’s digital platform is highly regarded in the industry for its innovation. In Switzerland, several wealth managers offer access to the Saxo trading platform under their own brand names. Additionally, Saxo entered a partnership with Leonteq in the fall of 2024 to expand its range of structured products, focusing on joint development and distribution.
Saxo has successfully operated as an independent provider in Switzerland, positioning itself as a cost-effective alternative to established online trading platforms like Swissquote and Yuh, introducing innovative offerings such as free ETF savings plans in the Swiss market.
The number of customers saw a rapid increase last year, primarily consisting of hobby traders. With the acquisition of Saxo Bank, J. Safra Sarasin gains access not only to a new technology platform but also to new customer segments, presenting both commercial opportunities and challenges.