What are the mid-term career plans of UBS' top two? Chairman Axel Weber revealed his own plans, as well as inadvertently tipping the hand of CEO Sergio Ermotti.
Axel Weber has been at UBS for the last five years, ushering the Swiss bank through a phase of massive restructuring as well as cleaning up scandals like benchmark rate-rigging and manipulation of precious metals prices.
While some might argue that the strategic heavy lifting was done just before Weber was installed, he and his number-one, Sergio Ermotti, have proven an effective team.
Big Paydays
The Swiss bank pays them handsomely for it: Weber took home more than 6 million Swiss francs last year, while Ermotti was paid 14.3 million francs.
Now, Weber has revealed that he wants to stay another five years, until a term limit kicks in. He also tipped the hand of Ermotti, who just started his sixth year as CEO. «After speaking to him, I have the impression that we would like to go this stretch together. We're a strong team,» Weber told «Manager Magazin» (interview not available online).
Maturing as a CEO
To be sure, Weber clarified that he serves at the pleasure of shareholders, but that board colleagues had «unanimously welcomed» his plan to stay through 2022. He has restocked UBS' board, including with associates like former German monetary policy expert Beatrice Weder di Mauro.
Ermotti's situation is somewhat more complex: He has done well for UBS and, barring an unexpected scandal or an internal power play, the bank’s board is likely to respect his wishes on the timing of his resignation.
This hasn't stopped observers, including finews.asia, from highlighting the internal bench of potential CEO successors.
