• 04 Feb 2014 at 3:12 PM
  • Banks

Bonus Watch ’14: UBS

A rising tide is lifting all boats in Zürich.

UBS reported an overall fourth-quarter net profit of 917 million Swiss francs ($1 billion) compared with a loss of roughly 1.9 billion francs in the same period a year earlier, when results were undercut by billions of dollars in charges for matters including a settlement of allegations that employees conspired to rig interest rates.

In light of its recent progress, UBS said it raised its overall performance award pool for 2013 by 28% to 3.2 billion francs, the first increase since 2012. The move signals a renewed confidence, and willingness to spend money on retaining talent. In 2012, as UBS digested bad news including a $1.5 billion settlement of charges that employees conspired to rig interest rates, UBS investment bankers and top executives saw the bank cut its performance award pool to a level 42% lower than it had been just two years earlier.

UBS Swings to Fourth-Quarter Profit [WSJ]

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Comments (12)

  1. Posted by Guest | February 4, 2014 at 3:20 PM

    So… I'll be able to afford like, a Lexus now?!

    – UBS Associate

  2. Posted by Guestasaurus Wretch | February 4, 2014 at 3:26 PM

    This is great!

    Maybe now my Financial Advisor will stop asking for an advance on his fees??

  3. Posted by Quant me maybe... | February 4, 2014 at 3:59 PM

    Yep. 1999 certified pre-owned with a 3 year 100,000 mile warranty.

    Wait, the '99 has 130k on it, so scratch the warranty.

  4. Posted by UBS Math | February 4, 2014 at 4:04 PM

    "UBS said it raised its overall performance award pool for 2013 by 28% to 3.2 billion francs, the first increase since 2012."

    "In 2012, as UBS digested bad news including a $1.5 billion settlement of charges that employees conspired to rig interest rates, UBS investment bankers and top executives saw the bank cut its performance award pool to a level 42% lower than it had been just two years earlier."

    42% lower than 0 is still 0.

  5. Posted by Erich Riccola | February 4, 2014 at 4:55 PM

    Just how much goes to the top?? Sergio & Bob McCann are 'ol Merrill buddies, take a look at the annual report later this year to see for yourselves. We can't wait to hear the excuses this year!! Let's run through the list of recent infractions– LIBOR rate rigging, Muni bid rigging, Illegal use of securitized loans in PR, Subprime Mortgages, Unsupervised Trading(Free Kweku),Lehman Notes/Structured products,Auction Rates, and I am sure to be missing a few. The little guy at UBS get screwed on all of these, even though they had nothing to do with any of it. They we're doing their job well under daily pressure to performat insane levels. This is not a good culture, period.

  6. Posted by UBS MD | February 5, 2014 at 12:53 AM

    lemme see.. so doing the math in my head… 0 + 28% is still = 0 :-(

  7. Posted by Nicky | February 5, 2014 at 1:18 AM

    i hope the guys at UBS get paid , they've been hosed so many times

  8. Posted by chinga | February 5, 2014 at 1:19 AM

    worst mgmt team, worst pay, worst deferred mix – how do they keep that thing afloat

  9. Posted by Rommel | February 5, 2014 at 12:13 PM

    Mike Stewart gets 12million and the rest of his Merrill men split 1 million

  10. Posted by Goering | February 5, 2014 at 12:34 PM

    UBS,"today's profits are tomorrow's fines, making money the old fashion way,stealing it"

  11. Posted by Kweku Adoboli | February 6, 2014 at 2:25 AM

    I hope so too

  12. Posted by UBS Board | February 6, 2014 at 2:48 AM

    Relax – it's not our money – it's the Swiss Government and shareholders funds that keeps it going.