UBS

By Louis Goss Switzerland’s government on Wednesday put forward plans that would see the country’s top banks subject to new rules aimed at preventing a repeat of the crisis that crashed Credit Suisse in March 2023, in an announcement that caused UBS shares to drop. In a 209 page document, Switzerland’s Federal Council recommended a package of 22 measures that could see new limits placed on bankers’ bonuses and see banks forced to keep more capital on their books to prevent another crash. If approved, the 22 measures could also see greater powers and more resources given to Switzerland’s banking regulator, FINMA, and see systemically important banks including UBS subject to stricter corporate governance rules. Shares in Switzerland’s top bank UBS (UBS) (CH:UBSG) fell 4% following publication of the document on Wednesday, after gaining 40% over the previous 12 months during which it acquired its main rival Credit Suisse in […]

The following is a summary of the UBS Group AG (UBS) Q4 2023 Earnings Call Transcript: Financial Performance: UBS reported Q4 profit before tax of $592 million and a net loss of $279 million, primarily due to lower client activity. Revenues decreased by 3% to $10.4 billion, and operating expenses increased 1% to $9.7 billion. UBS achieved $22 billion in net new assets in the Global Wealth Management sector in Q4. The CET1 capital ratio increased to 14.5% and the total loss-absorbing capacity amounts to $200 billion. An increase of 27% YoY is planned for the ordinary dividend for the 2023 financial year, rising to $0.70. Stock buy-backs are expected to resume with a target of up to $1 billion in 2024. The long-term goal is to achieve a 15% return on CET1 capital and a cost-income ratio of less than 70% by the end of 2026. Business Progress: The

By Jon Sindreu Could UBS come to look — and be valued — like Morgan Stanley? Yes, but the aftermath of a megadeal isn’t the ideal time to get a celebrity makeover. The Swiss bank’s annual accounts, published Tuesday, show the challenges inherent in its deal last year to acquire Credit Suisse. UBS’s assets increased by 56% in 2023 compared with 2022, but its revenues were only 18% higher. A net loss of $279 million for the final quarter mostly reflected a $1.8 billion expense from the continuing integration of its unprofitable former rival. After an initial period of doubt, investors came to embrace the transaction. UBS shares have delivered a 36% total return since it closed in June, compared with roughly 5% for the Stoxx Europe 600 index. Now that the $29 billion one-off windfall from a discount deal price has already been recorded, though, overcoming skepticism might prove

By Andrew Welsch UBS recruited a former Merrill Lynch team that managed approximately $1.3 billion in client assets, according to the Swiss bank. The Hart Group, a four-person advisor team, has joined UBS in Albany, N.Y. It includes advisors James Hart, Emily Hoag, Natalie Squillace, and Nolan Hart. The advisors specialize in serving athletes and entertainers, according to UBS. “Athletes and entertainers frequently face unique challenges such as sudden wealth and complicated family financial dynamics that require specialized advice and guidance,” said Wale Ogunleye, a former NFL player who now heads UBS’s Athletes & Entertainers Client Segment. “We are excited to have Jim and the Hart Group join UBS to expand our capabilities and help meet growing demand from this important client group.” James Hart has nearly 40 years of experience in the industry, according to BrokerCheck, a public database maintained by industry self-regulatory organization Finra. He began his career

UBS Gr (NYSE:UBS) reported quarterly losses of $(0.09) per share which missed the analyst consensus estimate of $0.23 by 139.13 percent. This is a 118 percent decrease over earnings of $0.50 per share from the same period last year. The company reported quarterly sales of $10.86 billion which beat the analyst consensus estimate of $10.28 billion by 5.59 percent. This is a 35.20 percent increase over sales of $8.03 billion the same period last year.

UBS Group (UBSG.SW) said Tuesday that profit and revenue for the full-year 2023 jumped year over year. Net profit attributable to shareholders for the 12 months ended Dec. 31, 2023, was $29.03 billion, compared with $7.63 billion a year ago. EPS was $8.81, compared with $2.25. The Swiss bank’s total revenue was $40.83 billion, compared with $34.56 billion previously. Analysts polled by Visible Alpha were expecting $12.92 billion in net income or $4 per share, while revenue was estimated at $42.84 billion. Meanwhile, the board will propose a dividend of $0.70 per share for 2023, payable on May 3 to shareholders on record May 2. It paid $0.55 per share a year ago. Looking ahead, UBS expects first-quarter 2024 revenue to be positively impacted by seasonal factors, including higher client activity compared with the fourth quarter of 2023. It also expects “substantial sequential improvement” in reported net profit for the

UBS’s return on equity–a key profitability metric for banks–could exceed current expectations following the integration of its former competitor Credit Suisse, Chair Colm Kelleher tells Bloomberg TV at the World Economic Forum in Davos. Switzerland’s largest bank in August said it was targeting to end 2026 with a return on equity of around 15%. UBS–which is due to publish a three-year strategic plan in February along with its fourth-quarter results–has started merging teams and downsizing Credit Suisse’s Swiss investment bank, Kelleher says. “The people we have brought in, on the whole it has worked quite well, we have been quite surprised,” he says. “To a large extent a lot of bad actors had gone.”