Schweizerische Nationalbank : Interim results of the Swiss National Bank as at 30 June 2017

Press release

Communications

P.O. Box, CH-8022 Zurich Telephone [phone] [e-mail]

Zurich, 31 July 2017

Interim results of the Swiss National Bank as at 30 June 2017 The Swiss National Bank (SNB) reports a profit of CHF 1.2 billion for the first half of 2017.

A valuation gain of CHF 0.3 billion was recorded on gold holdings. The profit on foreign currency positions amounted to CHF 0.1 billion and the profit on Swiss franc positions stood at CHF 0.9 billion.

The SNB's financial result depends largely on developments in the gold, foreign exchange and capital markets. Strong fluctuations are therefore to be expected, and only provisional conclusions are possible as regards the annual result.

Profit on foreign currency positions

The net result on foreign currency positions was CHF 0.1 billion.

Interest income accounted for CHF 4.4 billion and dividends for CHF 1.8 billion. Movements in bond prices differed from those in share prices. A loss of CHF 3.6 billion was recorded on interest-bearing paper and instruments. By contrast, equity securities and instruments benefited from the favourable stock market environment and contributed CHF 9.4 billion to the net result.

Exchange rate-related losses totalled CHF 11.8 billion. Exchange rate gains on the euro did not offset losses recorded on other investment currencies, particularly the US dollar.

Press release Valuation gain on gold holdings

A valuation gain of CHF 0.3 billion was achieved on gold holdings, which remained unchanged in volume terms. Gold was trading at CHF 38,217 per kilogram at end-June 2017 (end-2016: CHF 37,885).

Profit on Swiss franc positions

The net result on Swiss franc positions, which stood at CHF 0.9 billion, was largely comprised

of negative interest charged on sight deposit account balances.

Provisions for currency reserves

As at end-June 2017, the SNB recorded a profit of CHF 1.2 billion, before allocation to the

provisions for currency reserves.

In accordance with art. 30 para. 1 of the National Bank Act (NBA), the SNB is required to set aside provisions permitting it to maintain the currency reserves at the level necessary for monetary policy. The allocation for 2017 will be determined at the end of the year.

Press release Income statement, 1 January-30 June 20171

In CHF millions
Item in Notes	Q1-Q2 2017	Q1-Q2 2016	Change
Net result from gold	345.8	7 597.4	- 7 251.6
Net result from foreign currency positions	1	110.8	12 994.4	- 12 883.6
Net result from Swiss franc positions	2	943.9	868.1	+ 75.8
Net result, other	9.9	12.3	- 2.4
Gross income	1 410.3	21 472.1	- 20 061.8
Banknote expenses	- 39.8	- 10.1	- 29.7
Personnel expenses	- 83.1	- 80.6	- 2.5
General overheads	- 57.5	- 64.9	+ 7.4
Depreciation on tangible assets	- 14.9	- 16.3	+ 1.4
Interim result	1 214.9	21 300.2	- 20 085.3

1 Unaudited. The external auditors only audit the annual financial statements.

Q2 2017	Q2 2016	Change
Net result from gold	- 1 901.5	3 449.7	- 5 351.2
Net result from foreign currency positions	- 5 155.5	11 804.0	- 16 959.5
Net result from Swiss franc positions	474.1	428.9	+ 45.2
Net result, other	7.4	8.6	- 1.2
Gross income	- 6 575.4	15 691.2	- 22 266.6
Banknote expenses	- 32.3	- 9.9	- 22.4
Personnel expenses	- 40.0	- 38.8	- 1.2
General overheads	- 26.3	- 27.2	+ 0.9
Depreciation on tangible assets	- 7.4	- 8.3	+ 0.9
Interim result	- 6 681.5	15 607.1	- 22 288.6

1 Unaudited. The external auditors only audit the annual financial statements.