Audit is an integral part of our corporate governance. While retaining their independence, the External Auditors and Group Internal Audit (GIA) closely coordinate their work. The Audit Committee and ultimately the Board of Directors supervise the adequacy of audit work.

External auditors

The statutory auditor of the Julius Baer Group is KPMG AG (KPMG), Zurich, Switzerland since 2006.

KPMG attends all meetings of the Audit Committee, reporting on the findings of its audit and/or interim review work and providing a report as to its independence to the Audit Committee at least once a year.

The external auditor is assessed yearly by the Audit Committee. The assessment includes a judgement of the external auditor’s qualification and independence (based on the External Audit Guideline). In addition, the Audit Committee assesses the scope and quality of the reports and management letters submitted to Management and the Audit Committee. It also recommends to the Board of Directors the appointment or replacement of the External Auditors, subject to shareholder approval as required by Swiss law.

Group internal audit

With 51 professionals as at 31 December 2024, compared with 42 as at 31 December 2023, Group Internal Audit (GIA) performs the global internal audit function for the Julius Baer Group. 

GIA is an independent and objective function that provides independent and objective assurance to the Board of Directors on safeguards taken by management to (i) protect the reputation of the Group, (ii) protect its assets, and (iii) monitor its liabilities. GIA provides assurance by assessing the reliability of the risk management system, internal controls including operational information, as well as compliance with laws and regulations. 

All audit reports are made available to all Board members. Audit reports are addressed to the responsible Executive Board member and other relevant functions in the Group. Audit reports with key audit findings are provided to the entire Executive Board, the Audit Committee, and the Chairman. In addition, the Chairman and the Audit Committee members are regularly informed about all audit reports and significant audit findings. GIA further assures the closure and successful remediation of audit findings addressed by management actions. 

To maximise its independence from management, the Head of GIA, Ralph Dicht, reports directly to the Chairman and to the Chairperson of the Audit Committee for delegated duties. GIA has unrestricted access to all accounts, books, records, systems, property, and personnel, and must be provided with all information and data needed to fulfil its auditing duties. The Chairman and the Chairperson of the Audit Committee may request special assignments to be conducted. Other Board of Directors members and the Executive Board may ask for such special assignments with the approval of the Chairman or the Chairperson of the Audit Committee. Coordination and close cooperation with the External Auditors enhance the efficiency of GIA’s work.