Talks at the top
Keller-Suter dials the Donald, Julius Baer's big gun, Toblerone's repentance
Dear Insider,
People make all the difference.
As the last week’s events have shown, the man (or woman) at the top can have a dramatic impact on…well, everything.
While the focus - both internationally and in Switzerland - has been on Donald Trump’s tariff antics over the past week, one telephone call from Bern to Washington seemed to prove that “power at the top” can come in many forms.
Julius Baer may also soon find out that its top man makes a difference…for better or worse.
This week’s edition puts it all in focus.
Enjoy,
Ian
💥Quick hits
News bits and bites…short and (sometimes) sweet
☎️ Let’s talk about this…
On Wednesday, before Donald Trump pulled back on his massive tariff plan, Swiss President Karin Keller-Sutter gave the US president a call.
According to some inside sources, the Swiss government had been trying to get through, unsuccessfully, for several days.
What she said remains vague. The timing, however, was significant….
At roughly the same time that Trump spoke to Keller-Sutter, it was announced that the US would enact a 90-day pause on reciprocal tariffs.
Could Keller-Sutter have helped change Trump’s mind?
Perhaps - especially if she reminded him that the Swiss National Bank is one of the largest holders of Apple and Nvidia stocks.
🔥Artistic fire
Some “political statements” can be sung.
Not so conventional - but potentially more effective.
This week, Swiss artist Nemo (winner of the 2024 Eurovision Song Contest) made a striking return at the SRF Bounce Cypher.
He let loose with a powerful rap performance that included sharp criticism of the media.
Reflecting on their experience after last year’s ESC victory, Nemo denounced journalistic practices, accusing outlets of spreading misinformation through copy-paste reporting.
They also highlighted the struggles faced by Swiss musicians in making a sustainable living.
Luxury problems?
📰 Person in the news - Noel Quinn
He is a heavyweight - in more ways than one.
In February, the scandal-ridden, yet proud and venerable wealth house Julius Baer announced that former HSBC CEO Noel Quinn would succeed Romeo Lacher as Chairman.
It looked like a coup (the good kind…)
There is, however, a small catch…as there always is.
Quinn, like John Mack, Brady Dougan, Tidjan Thiam and countless other Swiss banking execs before him is a foreigner. For someone who bears as much responsibility as the chairman of a storied Swiss banking franchise, this can be a liability.
➡️ Especially if - as in Quinn’s case - he speaks no German or French.
The situation at Julius Baer puts the spotlight on more people than it’s chairman.
The question of nationality among top managers is again stirring debate. Of the major Swiss companies (Top 5 in the SMI), none have a Swiss citizen as chairman or chief executive.
Nestlé, Roche, Novartis, Zurich Insurance and Richemont are all lead by foreign nationals.
UBS, on the other hand, has the virtue of a Swiss CEO (Sergio Ermotti)…and an Irish chairman (Colm Kelleher).
While the situation is not extraordinary considering the high number of non-Swiss among the general population - it comes at a tricky time.
After blow-ups with Thiam, Dougan and others a more conservative, Swiss approach seems favored.
Then again - Romeo Lacher was Swiss through and through…
📰 Second person in the news - Gabriel Lüchinger
“It’s time to get down to business….”
That is the conclusion after the name of Gabriel Lüchinger broke into the news in the last few days.
On Wednesday, the Swiss Federal Council announced Lüchinger as the government’s special trade envoy to the United States.
The man will have a tall task…
Fortunately, he has some experience.
Lüchinger has been in diplomacy since 2018, having served as an assistant to current Economics Minister Guy Parmelin and most recently in the International Security Division of the State Secretariat for Foreign Affairs.
There he helped organize the Bürgenstock Conference on Peace in Ukraine.
🍫 Back to the roots
It’s time to come back - according to Toblerone.
The world famous chocolate bar’s parent company, Mondelez, is investing CHF 65 million to expand its Bern-Brünnen factory.
The move is meant to reaffirm its commitment to its roots in Switzerland.
It follows criticism the rained down on Toblerone in 2023 when part of the production was shifted to Slovakia, leading to the loss of the "Swiss made" label and the removal of the Matterhorn logo from packaging.
To emphasize its Swiss heritage, Toblerone will now feature the Swiss cross on most of its products.
The investment includes a new production line set to launch in autumn, aiming to meet the growing global demand for premium chocolate.
A Chart is Worth…
It isn’t dramatic - but the Swiss chocolate market is predicted to rise…somewhat…in the next 5 years.
The Bonus
🫰🏻Firing up the money - The Swiss parliament wants to be ready for war - as such it is seeking an additional 1 billion CHF to purchase ammunition. (Link)
✅ A great IDea - Switzerland is (once again) toying with a plan to introduce a fully-digital E-ID. Residents can now test the latest version which has been available since March. (Link)