{
}
UBS CEO Sergio Ermotti is expected to earn slightly over 15 million francs for the past year, amid ongoing public outcry over high executive salaries. Despite a potential bonus structure allowing for up to 20 million, UBS aims to maintain a cautious approach due to political scrutiny and regulatory changes. The bank's remuneration practices, particularly in light of its state support during the Credit Suisse acquisition, have sparked calls for salary caps from politicians.
The Council of States is set to debate the 500-page report from the Parliamentary Commission of Inquiry (PUK) regarding the Crédit Suisse crisis, which was triggered by the bank's management. The PUK criticized the Federal Council for its hesitant approach to the "too big to fail" regulations and called for reforms to strengthen financial oversight. UBS shares fell 3.6% to CHF 28.41 amid these discussions.
Karin Keller-Sutter has shifted the decision-making on UBS's capital requirements from the Federal Council to Parliament, delaying the process significantly. The SP has criticized this move, warning of risks to financial stability, while the SVP has retreated from its previous hardline stance on banking regulations. A referendum on the equity issue may follow, but any changes are unlikely before 2027 or 2028.
UBS CEO Sergio Ermotti is resisting calls for a CHF 25 billion capital increase to strengthen the bank's financial position following the Credit Suisse collapse, threatening to relocate headquarters if regulations become too strict. The Swiss regulator and Finance Minister support the capital boost, citing UBS's dominant market position, but Ermotti argues it would lead to higher costs for customers and job cuts. Negotiations may lead to a compromise, potentially relaxing valuation criteria to reduce the required capital.
In Switzerland, internal government conflicts over military funding led to the resignation of army chief Thomas Süssli, who faced pressure from Finance Minister Karin Keller-Sutter. Meanwhile, the appeal trial for former FIFA president Joseph Blatter and UEFA's Michel Platini commenced, focusing on a controversial 2 million franc payment. The Swiss National Bank reported a profit of 80.7 billion francs for 2024, allowing for significant distributions to cantons and the federal government.
Martin Schlegel, the new head of the Swiss National Bank, acknowledges the challenges of balancing family life with his demanding role. He emphasizes the need for improved banking regulations following the Credit Suisse crisis and supports the Public Liquidity Backstop to ensure financial stability. Schlegel also addresses the uncertainties in the global economy, particularly due to political pressures and customs policies, while maintaining the SNB's commitment to price stability through interest rate management.
Sergio Ermotti has emphasized the critical nature of upcoming decisions for Switzerland's financial future, as UBS navigates increased regulatory scrutiny following its acquisition of Credit Suisse. The bank faces potential capital requirements that could cost up to CHF 25 billion, prompting intensified lobbying efforts to influence parliamentary discussions. Despite initial concerns, UBS's market value has nearly doubled since the takeover, although recent regulatory proposals have caused significant fluctuations in its share price.
UBS has undergone a significant transformation since the financial crisis, focusing on wealth management and reducing risk. In 2023, it made headlines by acquiring Credit Suisse, creating a financial powerhouse with over $5 trillion in assets, further solidifying its position as a leading global wealth manager. The strategic partnerships in Asia and South America highlight UBS's commitment to growth and innovation in the financial sector.
Karin Keller-Sutter announces a shift in decision-making regarding capital backing for UBS subsidiaries, now to be determined by Parliament and potentially the electorate, rather than the Federal Council. This change follows a Parliamentary Commission of Inquiry's emphasis on the importance of capital adequacy for financial stability. The Swiss National Bank and FINMA support a 100% capital backing, which could impose an additional $25 billion requirement on UBS, with a referendum likely if the Federal Council's proposals are significantly weakened.
The Council of States is set to address the regulation of UBS, following the emergency takeover of Credit Suisse. A proposed Public Liquidity Backstop (PLB) for systemically important banks has faced delays, with discussions on insurance premiums and capital adequacy requirements now expected to involve parliamentary decision-making, potentially subject to a public referendum. This shift may impact the urgency and effectiveness of reforms aimed at preventing future banking crises.
Karin Keller-Sutter
People
The information provided herein is generated by experimental artificial intelligence and is for informational purposes only.
ubs ceo salary sparks controversy amid calls for regulation and restraint
Swiss Franc
CHE
Karin Keller-Sutter
Sergio Ermotti
Vas Narasimhan
Jakob Stark
Colm Kelleher
Beat Schmid
Show more
12:55 16.03.2025
Swiss Council debates PUK report on Credit Suisse crisis and banking reforms
22:06 14.03.2025
UBS equity capital debate shifts to parliament amid regulatory delays
CHE
Roger Nordmann
Karin Keller-Sutter
Céline Widmer
Sergio Ermotti
Marco Chiesa
Colm Kelleher
Show more
09:42 05.03.2025
ubs ceo threatens relocation amid capital adequacy disputes with regulators
20:01 03.03.2025
swiss government faces turmoil as army chief resigns amid budget disputes
Swiss Franc
CHE
Karin Keller-Sutter
Viola Amherd
Joseph Blatter
Olivier Thormann
Michel Platini
Stefan Meierhans
Show more
17:00 03.03.2025
challenges and insights from the head of the swiss national bank
United States Dollar
Swiss Franc
CHE
Karin Keller-Sutter
Matthew Jordan
Martin Schlegel
Donald Trump
Show more
06:00 01.03.2025
ubs faces regulatory challenges after credit suisse acquisition impacts future stability
United States Dollar
Swiss Franc
Swiss National Bank
CHE
Karin Keller-Sutter
Markus Ronner
Lukas Gähwiler
Sergio Ermotti
Show more
19:31 28.02.2025
ubs transforms and expands through strategic partnerships and historic acquisition
United States Dollar
Banco do Brasil
Sumitomo Mitsui Trust Holdings Inc.
Credit Suisse Group Ltd.
BRA
CHE
JPN
Karin Keller-Sutter
André Simonazzi
Thomas J. Jordan
Alain Berset
Marlene Amstad
Colm Kelleher
Show more
11:49 27.02.2025
Swiss parliament to decide on capital backing for UBS subsidiaries
17:56 26.02.2025
regulation of big banks faces delays as public vote looms
06:10 26.02.2025
Trending
Subcategory
Corporate News
Stock Market Updates
Industry Trends
Banking Regulations
Finance Mergers & Acquisitions
Global Financial Events
Retail and Consumer Goods
CEO Changes
Central Bank Actions
Global Trade Developments
Industry Mergers & Acquisitions
GDP Growth & Recession Forecasts
Market Analysis and Predictions
Financial Scams and Security
Inflation and Monetary Impact
Government Policies
Government Economic Policies
Workplace Trends
Startups & Entrepreneurship
Supply Chain Management
Countries:
Companies:
The Goldman Sachs Group, Inc.
JPMorgan Chase & Co.
Tesla, Inc.
Apple Inc.
Barclays PLC
Bank of America Corporation
Wells Fargo & Company
Citigroup Inc.
Deutsche Bank Money Market PP
Morgan Stanley
Huawei Technologies CO. Ltd.
Lloyds Banking Group plc
Microsoft Corporation
UBS Group AG
Credit Suisse Lux Digital Healt
Banco Santander, S.A.
Credit Suisse Strategic Income I
NVIDIA Corporation
Amazon.com, Inc.
AXA SA
Currencies:
United States Dollar
Euro
Chinese Yuan
British Pound Sterling
Swiss Franc
Japanese Yen
Indian Rupee
Russian Ruble
Australian Dollar
Canadian Dollar
United Arab Emirates Dirham
Indonesian Rupiah
Saudi Riyal
South Korean Won
Danish Krone
Offshore Chinese Yuan
Turkish Lira
Hong Kong Dollar
Mexican Peso
Malaysian Ringgit
People: