The cantonal banks in St. Gallen, Lucerne, and Vaud have seen a decline in their share prices this year, despite reporting strong financial results. Unlike insurance stocks, which have performed well in 2024, the securities of these cantonal banks have not done as well, which reflects concerns from investors.

LUKB has achieved record profits so far, even with falling interest rates. However, the decrease in share value is causing alarm among investors who are worried about a potential decrease in the banks' net interest income as interest rates continue to drop. This situation highlights the challenges faced by traditional banking institutions in the face of changing economic conditions.