H.S.H. Prince Max von und zu Liechtenstein, Chairman LGT

I hope you had an enjoyable holiday season and were able to recharge your batteries for the year ahead. I would like to take this opportunity to share my thoughts on how LGT has developed over the last year and to look ahead to 2023.

After living with the pandemic for two years, many of us were hoping that 2022 would be easier: a year filled with optimism and new projects. Unfortunately, things turned out differently. The war in Ukraine is not only a human tragedy but has also exacerbated already massive geopolitical and economic challenges and risks. And because the quality of the political leadership in several important countries has deteriorated progressively in recent years, we can also expect to see further political changes with significant economic consequences. Good risk management will therefore be an important success factor for LGT moving forward, both in the context of corporate development and investment management.

We are very pleased with the progress that LGT has made over the last year, despite the difficult environment. We were able to reach most of our goals, and in some cases even exceed them. We achieved good results for both our clients and our company, thanks in no small part to our broad geographic presence and good risk management. We recorded strong net asset inflows and organic growth. Our high-quality products and services, well-diversified investments in sustainable companies and our personalized advice all contributed to these results. They also received several accolades from independent juries. We were especially pleased to have been named Best Private Bank for Sustainable Investing in Western Europe by Global Finance magazine. Awards like these reinforce our conviction that our long-term, holistic approach is the right one. We also want to continue to take advantage of the opportunities that digitalization affords. We therefore launched a major cross-departmental initiative last year to develop new digital products and services. The goal of this initiative is to provide you with an even better client experience.

With our acquisition of Validus Wealth in India and Crestone in Australia, we have further expanded our international presence in two attractive growth markets. We also took an important step in Europe, acquiring a highly regarded team of private bankers in Hamburg who will help us build a local presence in Germany. Plans are already underway to expand to other locations in Germany.

Due to the economic and political challenges in 2022, climate change has taken somewhat of a back seat. However, the situation is now more acute than ever. We know that LGT can only make a small contribution to overcoming these immense global challenges, but we want to make that contribution actively. That is why last year, we committed to reducing our emissions to net zero by 2030. In 2022, we sharpened and further developed our strategy accordingly. At the end of the year, we finalized our ambitious Sustainability Strategy 2030, which contains concrete and quantifiable targets and measures.

At LGT, we do everything we can to systematically reduce our emissions. For our unavoidable emissions, we work with innovative companies to reduce global CO2 emissions or remove CO2 from the atmosphere. We also want to help you make your portfolio more sustainable. We have developed a number of products and services to support you in this and are continuously expanding that offering.

We are pleased to see that interest in sustainable investing is steadily increasing among private clients. A growing number of investors are looking to take advantage of the development and investment opportunities that arise as we transition to a more sustainable future.

We are starting the year in an excellent position, and would therefore like to take this opportunity to thank our outstanding employees, who embody our company’s culture and demonstrate their commitment every day. We would also like to thank you, our valued client, for the trust you place in us.

We look forward to working with you again in 2023 and will continue to do our utmost to provide you with outstanding service and competent advice.

I wish you and your family much happiness, success and health in the new year.

Sincerely,
H.S.H. Prince Max von und zu Liechtenstein
Chairman LGT