Julius Baer Holding does not plan to sell its hedge fund unit, the chairman of the group said today.

CEO Johannes de Gier told a media conference that a sale of GAM was not on Baer’s agenda and the Swiss firm is not in talks with anyone about the unit. Speculation swirled about Baer’s plans for GAM after it revealed a 18 billion Swiss franc decline in total assets under management, due to a combination of currency movements, equity market movement and outflows in the first half.

Baer bought GAM from UBS, which remains the hedge fund’s biggest client, in 2005.

Baer also announced that de Gier is stepping down on Sept. 1 and will not be formally replaced. Widmer and asset management chief David Solo will assume leadership of the firm, which posted a 2.9% decline in first-half net profit.