Berner Kantonalbank

Berner Kantonalbank AG, marketed principally as BEKB | BCBE, is the cantonal bank associated with the Canton of Bern in Switzerland. Founded in 1834, it is one of the country’s early cantonal banking institutions and was created to provide financing for citizens, commerce, and regional economic development after political reforms opened greater scope for trade and business in the canton. Its historical role combines commercial banking with a public-service mandate connected to the Canton of Bern. The bank developed from a regional institution into a broad-based financial-services provider. It opened its first three branches in 1858, in Saint-Imier, Burgdorf, and Biel/Bienne, extending access beyond its original base. Its activities have subsequently expanded across deposits, payments, lending, mortgages, business finance, investment products, securities trading, asset management, pensions, and advisory services. The bank serves private customers, young people, savers, homeowners, investors, small and medium-sized enterprises, and larger corporate clients. It also offers a range of accounts and cards, including current, savings, rental-deposit, pension, client-funds, and credit-card products. A major structural change occurred in 1991, when the Cantonal Bank of Bern merged with the Hypothekarkasse des Kantons Bern. The combined organization was intended to operate as a modern universal bank while continuing to perform economic and social functions for the canton. The institution then had to respond to the Swiss real-estate crisis and revise its credit and business policies. In 1993, assets that no longer fitted the revised policy were transferred to Dezennium-Finanz AG, a separate entity established in the context of the restructuring. The Canton of Bern provided substantial support during the subsequent recovery, according to the bank’s historical account. BEKB’s legal and ownership model also changed. In 1998, it became the first cantonal bank to be converted into a private-law stock corporation. This separated the canton’s role as owner from the operational management of the bank. The canton retained a majority interest, while the company gained a corporate structure designed to compete more flexibly in the banking market. In 1999, BEKB became the first cantonal bank organized under private law to list registered shares on the SIX Swiss Exchange. Since 1996, its customer-facing brand has generally been BEKB | BCBE, reflecting the German and French languages used in its market. The Canton of Bern remains the majority shareholder and, under the canton’s constitutional framework, guarantees the stability of the bank’s ownership position. This should not be confused with a general state guarantee of BEKB’s liabilities: the bank does not have a state guarantee covering its obligations. The institution therefore combines public majority ownership with the legal form and market discipline of a listed private-law company. In addition to its banking operations, BEKB has developed technology-related capabilities. An IT subsidiary that originated from DXC was renamed Aity in 2022. The bank’s overall positioning remains that of a regionally rooted universal bank, with a strong emphasis on personal banking relationships, mortgages, SMEs, investment advice, and the economic interests of Bern and neighboring Swiss markets.

Berner Kantonalbank was established in 1834, three years after the Canton of Bern adopted a liberal state constitution. The new political environment encouraged trade and commerce, creating demand for an institution able to provide credit and basic banking services to a broad section of the population. The Cantonal Bank of Bern therefore began with both a commercial and developmental function: it was expected to finance economic activity while supporting the canton’s wider public interests. The institution expanded its physical presence in the nineteenth and twentieth centuries. In 1858 it opened branches in Saint-Imier, Burgdorf, and Biel/Bienne. Its balance sheet passed one billion Swiss francs in 1958, marking the scale reached by the institution after more than a century of operation. In 1979, four branches were transferred to the newly established Banque cantonale du Jura, requiring an adjustment of the bank’s regional organization. In 1991, the Cantonal Bank of Bern merged with the Hypothekarkasse des Kantons Bern. The resulting Berner Kantonalbank was given the role of a modern universal bank, with responsibility for economic and social tasks in the interests of the canton and the public, while also being expected to respond competitively to market change. The early 1990s brought significant pressure from the Swiss real-estate crisis. BEKB revised its business and lending policies, and in 1993 transferred assets that no longer complied with the new policy to Dezennium-Finanz AG, a separate entity associated with the restructuring process. The Canton of Bern subsequently provided financial support for the bank’s recovery. The bank’s governance changed materially in 1998. Legislation converted BEKB into a private-law stock corporation, separating the canton’s ownership role from the responsibilities of management. The canton retained majority control, but the new structure gave the bank a more conventional corporate form. In 1999, BEKB listed its registered shares on the SIX Swiss Exchange, becoming the first cantonal bank operating under private law to do so. Since 1996, the institution has operated publicly under the BEKB | BCBE brand, using German and French abbreviations for Berner Kantonalbank and Banque Cantonale Bernoise. Its business has broadened into retail banking, mortgage lending, business finance, investments, securities, asset management, payments, cards, and pension services. The bank remains headquartered in Bern and focused on Swiss customers, especially in the canton of Bern and adjacent markets. The Canton of Bern continues to hold a majority shareholding. Although the canton guarantees the stability of its ownership position under the cantonal constitutional framework, BEKB does not have a state guarantee for its liabilities. In 2022, an IT subsidiary that had grown from the original DXC operation was renamed Aity, reflecting the continuing development of the group’s technology activities. Armin Brun became chief executive officer in July 2019 after joining the management board in 2017 and taking responsibility for Retail and Corporate Banking in 2018.

1. 2022IT subsidiary renamed Aity

   The technology subsidiary that developed from the original DXC operation adopted the Aity name.

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2. 1999SIX Swiss Exchange listing

   BEKB listed its registered shares on the SIX Swiss Exchange.

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3. 1998Conversion into a private-law stock corporation

   A new legal framework separated cantonal ownership from operational management.

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4. 1996BEKB | BCBE brand adopted

   The bank began operating under its German- and French-language short brand.

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5. 1993Restructuring and transfer of non-conforming assets

   Assets outside the revised business and credit policy were transferred to Dezennium-Finanz AG during the bank’s post-real-estate-crisis restructuring.

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6. 1991Merger with Hypothekarkasse des Kantons Bern

   The merger created the modern Berner Kantonalbank and broadened its mandate as a universal bank.

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7. 1958Balance exceeded one billion Swiss francs

   The bank’s balance sheet surpassed one billion Swiss francs.

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8. 1858First three branches opened

   Branches were opened in Saint-Imier, Burgdorf, and Biel/Bienne.

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9. 1834Cantonal Bank of Bern founded

   The institution was created to provide financing for trade, commerce, and regional economic activity in the Canton of Bern.

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A regionally anchored Swiss universal bank combining cantonal public ownership, listed-company governance, retail and SME relationships, mortgage lending, and investment services. Its brand emphasizes the German- and French-speaking markets of the Bern region while maintaining a broader Swiss operating reach.

• Retail banking accountsRetail banking

  BEKB provides everyday banking and deposit products for private customers, including savings, current, payment, rental-deposit, client-funds, youth, and educational savings accounts. These products support household payments, liquidity management, regular saving, and customer segments with specific life-stage needs.

• Mortgages and real-estate financingLending

  Mortgage lending and property finance are central parts of BEKB’s universal-banking proposition. The bank serves private homeowners and real-estate customers while also providing financing connected with business and commercial property needs.

• Business and SME financingCorporate banking

  The bank offers financing and banking support to companies, with a particular emphasis on Swiss businesses and small and medium-sized enterprises. Services include business accounts, credit facilities, and financing for commercial activity and investment.

• Cards and payment productsPayments

  The bank’s payment range includes bank cards and credit cards alongside payment accounts. These products complement its deposit and current-account services for individuals and business customers.

• Pension productsRetirement planning

  BEKB offers pension-related products intended to support Swiss retirement planning and long-term saving. They form part of the bank’s broader personal-finance and investment offering.

• 2022Rename the IT subsidiary AityStrategy

  The technology subsidiary had developed from the original DXC operation and required a distinct identity.

  What changed. The subsidiary adopted the designation Aity.

  Aftermath. The renaming marked the subsidiary’s continued development as a separate technology activity associated with the bank.

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• 1999List registered shares on the SIX Swiss ExchangeOther

  The private-law corporate structure enabled BEKB to access the public equity market.

  What changed. BEKB listed its registered shares on the SIX Swiss Exchange in Zurich.

  Aftermath. The bank became the first cantonal bank organized under private law to achieve such a listing.

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• 1998Convert BEKB into a private-law stock corporationStrategy

  The canton sought to clarify the relationship between its ownership role and the bank’s management while allowing the institution to compete more flexibly.

  What changed. A dedicated legal framework converted BEKB into a private-law stock corporation.

  Aftermath. The canton remained the majority shareholder, while BEKB operated with listed-company governance and market access.

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• 1993Separate assets outside the revised credit policyStrategy

  The bank was restructuring after pressure from the Swiss real-estate crisis and had adopted a new business and lending policy.

  What changed. Assets that did not conform to the revised policy were transferred to Dezennium-Finanz AG.

  Aftermath. The restructuring was supported by the Canton of Bern as the bank worked toward recovery.

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• 1991Merge the Cantonal Bank of Bern with Hypothekarkasse des Kantons BernM&A

  The two institutions were combined to create a broader and more modern universal bank.

  What changed. BEKB was formed through the merger and received a mandate combining commercial competition with economic and social responsibilities.

  Aftermath. The merged bank later revised its business and credit policies in response to the real-estate crisis.

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• 2022Technology subsidiary renamed Aity

  The bank’s IT subsidiary, which had developed from the original DXC business, received the name Aity.

  Other
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• 1999BEKB shares listed on the SIX Swiss Exchange

  BEKB became the first cantonal bank organized under private law to list registered shares on the SIX Swiss Exchange.

  Other
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• 1998BEKB becomes a private-law stock corporation

  A new legal framework converted the cantonal bank into a private-law stock corporation and clarified the separation between cantonal ownership and bank management.

  Other
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• 1996BEKB adopts the BEKB | BCBE brand

  The bank began using BEKB | BCBE as its short brand designation, reflecting its German- and French-language identity.

  Other
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1. Berner Kantonalbank