Interim results of the Swiss National Bank as at 31 March 2015 

The Swiss National Bank (SNB) reports a loss of CHF 30.0 billion for the first quarter of 2015.

The loss on foreign currency positions amounted to CHF 29.3 billion. A valuation loss of CHF 1.0 billion was recorded on the gold holdings.

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.

Loss on foreign currency positions

The negative result on foreign currency positions amounted to CHF 29.3 billion in total.

On 15 January 2015, the SNB decided to discontinue the minimum exchange rate of CHF 1.20 per euro with immediate effect. This led to an appreciation of the Swiss franc and, as a result, to exchange rate-related losses on all investment currencies. For the first quarter of 2015, these amounted to a total of CHF 41.1 billion.

Interest income provided a positive contribution, at CHF 1.6 billion, as did dividend income, at CHF 0.3 billion. The generally lower interest rate level resulted in price gains of CHF 3.7 billion on interest-bearing paper and instruments. Equity securities and instruments benefited from the favourable stock market environment and contributed CHF 6.2 billion to the net result.

Valuation loss on gold holdings

A valuation loss of CHF 1.0 billion was registered on the gold holdings, whose quantity remained unchanged. Gold was trading at CHF 37,127 per kilogram at the end of March 2015 (end of 2014: CHF 38,105).

Profit on Swiss franc positions

The profit on Swiss franc positions totalled CHF 328 million. It was essentially made up of CHF 236 million of negative interest charged on sight deposit account balances since 22 January 2015, as well as price gains of CHF 78 million and interest income of CHF 17 million on Swiss franc securities.

Provisions for currency reserves

As at the end of March 2015, the SNB recorded a loss of CHF 30.0 billion before the 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 2015 will be determined at the end of the year.

Source: Swiss National Bank (SNB)

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