UBS

  • 27 Feb 2014 at 5:18 PM
  • Banks

Don’t Call Them A Foreign-Exchange Powerhouse

UBS, like JPMorgan Chase and Morgan Stanley before it, has struck upon the idea that if it’s not in the Euromoney FX league tables, regulators won’t notice all of the (allegedly) illegal currency-related things it does. Read more »

Back in November, UBS worked out a prettay, prettay, prettay sweet deal for itself re: Libor manipulation. Like many another bank, UBS’s employees had their way with London Interbank Offered Rate. Unlike many other bank, which faced stiff penalties for doing so, the Swiss struck an immunity deal with the EU wherein it paid a relatively small fine and then, in exchange for cooperating with authorities and “turning over information about other banks,” found itself in the clear. Anyway, that worked out so well for UBS last time that it’s decided to take the same approach with a new rate-rigging investigation, and save itself a coupla bucks. Read more »

  • 04 Feb 2014 at 3:12 PM
  • Banks

Bonus Watch ’14: UBS

A rising tide is lifting all boats in Zürich. Read more »

  • 13 Jan 2014 at 4:31 PM

Bonus Watch ’14: Everyone

Pay predictions for Credit Suisse, Deutsche Bank, Goldman Sachs, JP Morgan, RBS, UBS. Read more »

UBS chairman Axel Weber has hinted he may not stay at the Swiss bank as long as originally expected, in a newspaper interview linking his future with the lender’s ability to meet stricter regulation as well as to restructure by end-2015. “My work here is done when the bank is prepared for the new regulatory requirements and we have successfully implemented our strategy,” Weber told German weekly Die Zeit, in an advance print made available on Wednesday. The Swiss bank aims to hit higher capital requirements by the end of 2014, and said two years ago it plans to fire 10,000 staff and largely wind down its fixed income business by 2015. Weber’s comments represent a subtle shift for the 56-year-old former head of Germany’s central bank, who responded to criticism of his 4 million Swiss franc ($4.50 million) signing-on fee in 2012 in part by saying he was looking to stay with UBS roughly 10 years. [Reuters]

Raoul Weil, the former head of UBS AG’s global wealth management business accused of conspiring to help Americans evade taxes, was ordered to post bail of $10.5 million before trial, according to a court filing. Weil, 54, appeared today in federal court in Fort Lauderdale, Florida, for the first time since he was indicted in October 2008 and declared a fugitive. U.S. Magistrate Judge Patrick Hunt said Weil must post a $9 million personal surety bond with a cash deposit of $4 million, as well as a $1 million corporate surety bond and a $500,000 personal surety bond, according to minutes of the hearing. Weil’s lawyer has said he is innocent. He is the highest-ranking banker among about 100 people charged since 2008 by the U.S. in a crackdown on offshore tax evasion. About three dozen foreign bankers, lawyers and advisers were charged. Tax lawyers not involved in the case said they expect Weil to plead guilty, cooperate with prosecutors, and seek leniency at sentencing. “There’s a good chance he’ll be ready to cooperate, and he’ll be throwing his people under the bus,” said attorney Edward Robbins of Hochman, Salkin, Rettig, Toscher & Perez in Beverly Hills, California. “He knows where all the dead bodies are. To the extent that the government missed any, he can tell them where they are.” [Bloomberg]

Time was, all a bank employee wanting to manipulate forex rates had to do was sit down at his desk, send a message to a fellow bank employee possessing equally loose morals (and a taste for being called “big boy“) and before you could say “let’s pop this bottle of Bollinger,” the job was done. Which is why UBS has decided to cut its people off at the source. It hasn’t figured out a way to eradicate Libor and other types of rate manipulation entirely, but it has figured out a way to make it slightly more difficult for people who don’t know how to use a phone. As an added bonus, it’ll be giving managing directors the extra responsibility of acting as chat room hall monitors, muttering “this is why we can’t have nice things” while handing out passes, hitting AIM-style warn buttons, and occassionally peeking under men’s room stalls for rogue chatters while doing actual work. Read more »