Key investors concerned about UBS size and regulator issues

<img width="250" height="174" src="https://www.leaprate.com/wp-content/uploads/2024/01/FIN-LP-Key-investors-concerned-about-UBS-size-and-regulator-issues-iStock-458280803-250×174.jpg" class="webfeedsFeaturedVisual wp-post-image" alt="" decoding="async" style="float: left; margin-right: 5px;" link_thumbnail="" srcset="https://www.leaprate.com/wp-content/uploads/2024/01/FIN-LP-Key-investors-concerned-about-UBS-size-and-regulator-issues-iStock-458280803-250×174.jpg 250w, https://www.leaprate.com/wp-content/uploads/2024/01/FIN-LP-Key-investors-concerned-about-UBS-size-and-regulator-issues-iStock-458280803-700×488.jpg 700w, https://www.leaprate.com/wp-content/uploads/2024/01/FIN-LP-Key-investors-concerned-about-UBS-size-and-regulator-issues-iStock-458280803-768×535.jpg 768w, https://www.leaprate.com/wp-content/uploads/2024/01/FIN-LP-Key-investors-concerned-about-UBS-size-and-regulator-issues-iStock-458280803-120×84.jpg 120w, https://www.leaprate.com/wp-content/uploads/2024/01/FIN-LP-Key-investors-concerned-about-UBS-size-and-regulator-issues-iStock-458280803-245×171.jpg 245w, https://www.leaprate.com/wp-content/uploads/2024/01/FIN-LP-Key-investors-concerned-about-UBS-size-and-regulator-issues-iStock-458280803-500×348.jpg 500w, https://www.leaprate.com/wp-content/uploads/2024/01/FIN-LP-Key-investors-concerned-about-UBS-size-and-regulator-issues-iStock-458280803.jpg 1227w" sizes="(max-width: 250px) 100vw, 250px" /><p><span data-contrast="auto">The state engineered the <a href="https://www.leaprate.com/financial-services/credit-suisse-fined-3-9-million-by-singapore-for-relationship-managers-misconduct/" target="_blank" rel="noopener">Credit Suisse</a> acquisition to prevent it from going under. With this takeover, UBS ended up with a balance sheet that exceeds $1.6tn, which is nearly double that of the Swiss economy. Since March 2023, when the intended takeover was announced, this financial giant’s shares jumped 50%.</span><span data-ccp-props="{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}"> </span></p>
<p><span data-contrast="auto">In an email statement sent to Reuters, UBS contended that more focus should be on its balance sheet, which does not paint the whole picture. The bank claimed 20% are high-liquidity assets while 15% are locked in retail and individual-wealth mortgages.</span><span data-ccp-props="{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}"> </span></p>
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<p><span data-contrast="auto">UBS further said its bank balance will shrink over the next three years. However, it did not give any specifics and wrote:</span><span data-ccp-props="{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}"> </span></p>
<blockquote><p><span data-contrast="auto"> … elements to prepare for potential resolution are in place and will be further improved for the combined bank.</span></p></blockquote>
<p><span data-contrast="auto">Reportedly, Ethos, a shareholder service company owning between 3% and 5% of UBS shares, raised concerns about the bank’s size and the lack of control regulators would have over such a large institution.</span><span data-ccp-props="{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}"> </span></p>
<p><span data-contrast="auto">According to Reuters, an anonymous top 10 UBS shareholder feels the bank’s size would cause constant discord with regulators and legislators. UBS controls many banking sectors, such as commercial lending. Should it get into financial hot water, the Swiss economy may suffer.</span><span data-ccp-props="{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}"> </span></p>
<p>The post <a rel="nofollow" href="https://www.leaprate.com/forex/market-news/key-investors-concerned-about-ubs-size-and-regulator-issues/">Key investors concerned about UBS size and regulator issues</a> appeared first on <a rel="nofollow" href="https://www.leaprate.com">LeapRate</a>.</p>

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