Distribution developments
Bellevue has a well-established client network in its three core markets Switzerland, Germany and the United Kingdom, augmented by strategic secondary markets in Austria, the Benelux and Spain. Demand in all targeted markets, especially for specialized healthcare investment vehicles, was muted in 2023 due to challenging market conditions as bond yields climbed higher and small and mid caps sold off.
International expansion and diversification
Progressive expansion of Bellevue’s international activities is a core element of its business strategy. Switzerland, Germany and the United Kingdom remain Bellevue’s core markets and account for the lion's share of assets under management. Operations in each core market are handled directly by a country team. The Spanish market has grown over the years to become Bellevue’s fourth-largest market thanks to successful collaboration with atl Capital, a local partner. All four markets experienced asset outflows in 2023 as clients became more risk-averse.
Distribution activities in Bellevue’s domestic market of Switzerland were intensified, especially in the country's French- and Italian-speaking regions. In Germany the sales and distribution team was expanded and its organizational structure modified, enabling it to address the needs of all relevant client segments efficiently and effectively. The focus of the Germany team in 2024 will be on business opportunities with savings and cooperative banks. Bellevue has a stable client base in Austria with growth potential and it is steadily building up its presence in the Benelux. In Singapore collaboration with a local partner has been fruitful. The United Kingdom has been an attractive market for BB Biotech AG and Bellevue Healthcare Trust in the past and both investment companies expect this to remain so going forward. The ramp-up of distribution activities for the Luxembourg funds in the still young Italian market has experienced some delay due to the uncertain market situation, but progress on this front should gain momentum in 2024.
In the Private Markets business, a dedicated private equity strategy was successfully launched in Switzerland in 2022. The Bellevue Entrepreneur Private Fund, which is focused on growth financing for unlisted small- and mid-sized Swiss companies, has attracted considerable interest from prominent investors. A follow-on product is at an advanced stage of planning and greater engagement of non-Swiss clients is being considered in order to extend our reach and strengthen our market position.
International reach, locally anchored
Strategic growth initiatives
As part of its growth strategy, Bellevue is selectively developing new markets and client groups to enhance its operating efficiency and increase its international reach. Initial progress has been made in selected Latin American markets such as Chile and Peru. This expansion is being pursued through the recruitment of promising talent for our sales and distribution operations and through selective distribution partnerships.