Sergio Ermotti took a victory lap after «nearly a decade» at the helm of UBS. finews.com on what the outgoing CEO of the world's largest wealth manager told staff about his exit.
If long-standing UBS chief Sergio Ermotti was surprised to be leaving the Swiss bank so suddenly, he didn't let on: «There is never a right moment to step away from what is a dream job, but even dreams come to an end,» he wrote in a memo to employees seen by finews.com.
«I will be 60 soon and after nearly a decade as CEO, the time has come for a new chapter for the bank and for me to write my next one,» Ermotti said. The ten-year mark is a key one for the Swiss banker, as finews.com reported three months ago: Ermotti described one decade at the helm of UBS as his dream and ambition to close associates.
Shy of Decade
He is closing out early – it will be eight years and nine months when he leaves in November and hands over to Ralph Hamers, who runs ING. Ermotti will have made good on his campaign platform for the job: restoring UBS' luster at home after the bank was battered by the financial crisis of 2008/09 and by a series of damaging scandals.
«If I have to tell you what was and is my mission: I think UBS can be the Apple or IBM of the banking industry, companies that went from being admired to severe difficulties and to being back stronger than before,» he said in 2011.
No Cash Calls
On Thursday, Ermotti referenced that aim: «It’s personally very gratifying to me that we also restored pride among those working here at UBS,» he told employees. «It has been an amazing run,» Ermotti said. He noted that UBS hadn't tapped shareholders during his tenure – Credit Suisse went cap in hand twice, for a total of 10 billion Swiss francs ($10.2 billion) – that the Swiss bank's capital is strong and dividends are healthy.
It's been the privilege of a lifetime to lead this great firm, but it's time for a new chapter – for me, and for UBS. Come November, Ralph Hamers will succeed me as UBS Group CEO. I'm looking forward to working with him to ensure a smooth transition. https://t.co/MeY6EJ3VUX
— Sergio Ermotti (@UBS_CEO) February 20, 2020
«We are well-positioned for sustainable growth and, last, but not least, we are in control of our destiny and in the enviable position of enjoying maximum strategic flexibility,» Ermotti said. He remains in the job until the end of October, following a two-month period where Hamers will apparently work alongside the outgoing CEO.
Headed for Board?
Ermotti has in the past repeatedly bristled on succession, and insisted UBS has a deep bench internally to replace him. It isn't clear whether Ermotti has eyes on taking over the chair at UBS, currently held by Axel Weber, following a cool-off period. The CEO said his goal in his remaining eight months is to keep UBS' eyes on strategy and to deliver on its financial targets.
Ermotti ensured that he would work seamlessly in his two overlapping months with designated CEO Hamers. The two have known each other for several years and worked together in industry bodies, Ermotti said.
