Alternative Bank breaks the mould

Many Swiss banks have been reporting record profits over the past few weeks but one financial institution with a difference made just SFr90,000 last year. It's the Alternative Bank which believes that making money is not its main priority.

Many Swiss banks have been reporting record profits over the past few weeks but one financial institution with a difference made just SFr90,000 last year. It’s the Alternative Bank which believes that making money is not its main priority.

Founded ten years ago this year and based in Olten, the Alternative Bank has been growing strongly over the past few years, particularly in the French-speaking part of the country.

The bank sees its mission in the granting of mortage credits and credits for operating ecological and socially-responsible small enterprises.

“The money which is given to us by investors should help support a sustainable economy and not be directed into the financial markets,” says Alternative Bank chairman Thomas Heilmann.

The Bank made a number of significant investments last year, which included employing more staff, streamlining structures and improving its information technology.

The Bank’s 1999 profit of SFr90,000 was down from SFr450,000 the previous year but Heilmann does not view this with alarm.

“A reduction in profit does not necessarily mean bad news. It is not a sign of weakness of the Alternative Bank’s position in the market-place. In our case, it is rather the expression in figures of the measures taken to control future growth,” he said.

By Rob Brookes