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UBS has become the last bank to reap an unexpected gain of market agitation unleashed by Donald Trump’s rates, since their merchants helped boost the Swiss lenders to better profits from the first expected quarter.
Revenue in their market business increased 32 percent to $ 2.5 billion in the quarter, after Trump’s aggressive commercial war triggered volatility in world markets of shares and foreign exchange.
Trump’s erratic tariff policy since his return to the White House has helped boost commercial income in Big Banks in Europe and Wall Street, since investors fight with the consequences of their effort to remodel the global commercial order.
UBS reported a net gain of $ 1.7 billion in the quarter, which extracted the prognosis of $ 1.3 billion for analysts, but below $ 1.8 billion in the same period of the previous year. The income was stable at $ 12.6 billion.
Revenue in its investment bank division increased by 16 percent to $ 3.3 billion in the quarter.
Its global heritage management division attracted $ 32 billion in new assets in the period, with the profit gain of the unit of $ 1.4 billion driven by higher rates.
Executive President Sergio Emotti said: “The power and scale of our diversified global franchise, together with our continuous approach to customers, cause a strong commercial impulse in the quarter and the new net entries in our asset collection businesses.”
Ermotti, who returned to lead the integration of the bank of former Credit Suisse rival in 2023, said the process was “on the way.” UBS is in the midst of changing more than 1 mn Swiss retail clients to their systems, one of the most complicated parts of integration.
“As we begin to execute in the next critical phase of integration, I remain satisfied with the substantial progress that we have achieved so far,” Ermotti said.
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