UBS Group has announced a strong net profit of $1.4 billion for the third quarter, which exceeded analysts' expectations of $783 million.

The bank's performance was driven by increased revenue from its loan business and effective cost reduction strategies. However, UBS has cautioned about potential market volatility related to the upcoming U.S. elections and a decline in interest income.

CEO Sergio Ermotti mentioned that the market currently expects a Trump victory, but a win for Kamala Harris could lead to a reassessment of trades favoring Trump, potentially impacting market dynamics.

The Wealth Management division also performed well, reporting pre-tax profits boosted by higher fee income, although net new assets of $25 billion were slightly lower than the previous quarter.

In the Investment Banking unit, UBS achieved a pre-tax profit of approximately $405 million, surpassing the analysts' estimate of $174 million, with growth observed in both transaction facilitation and market operations.

The overall macroeconomic outlook remains uncertain, particularly in regions outside the U.S.