Your definitive guide to the highs and lows of 2018: finews.asia features a year-end wrap for four banks describing the highlights of 2018. Here is a first look at UBS.
As competitors bemoaned the rout in global capital markets and increasing geo-political tensions, the largest private bank in the world announced that it had beaten analyst expectations with a 32 percent surge in net profit to $1.2 billion in the third quarter of 2018.
Sergio Ermotti (pictured above), the group’s dapper CEO would be forgiven if he felt smug when only a few days later, compatriot Julius Baer announced that both assets under management and gross margins were under pressure.
Somewhere between rebalancing client portfolios and office Christmas parties, UBS’s relationship managers amassed $400 million worth of investments into new equity for the construction of the marque 46-storey tower at 1568 Broadway, New York somewhat mysteriously named TSX Broadway (pictured above).
Back in Favour
A spokesperson for the company said the funding came from the bank’s ultra-high-net-worth and family office clients. The capital raise represents the largest ever real estate direct investment by the bank on behalf of its clients. Rival banks and asset managers have looked past their collective envy to hail the deal as a sign investments in real assets – which weathered a few rough years – are back in favour.
Who knew a sometimes staid Swiss bank could overshadow celebrities when it came to stories of whether or not it was coupling up. German business daily «Handelsblatt» reported in September 2018 that a merger between Deutsche Bank and UBS had been debated at the highest levels within the German lender.
Internet on Fire
Even though CEO Christian Sewing (pictured above) moved swiftly to dispel speculation, going as far as to dismiss the episode as fake news, the idea of the flag-bearer for German (if not European) banking becoming what would effectively be a junior partner to UBS set the internet on fire and went some way towards cementing the bank’s reputation.
- Page 1 of 2
- Next >>
