All articles by PBI Editorial
PBI Editorial
Swiss consolidation set to continue – Pictet
Smaller banks in Switzerland are running at a loss and the Swiss industry should expect to see more consolidation driven by the higher cost of doing business, according to the head of Pictet.This month, Nordea Banks Luxembourg-based subsidiary bought part of Sydbank’s private banking client base in Switzerland. In August, ABN AMRO sold its Swiss private banking business to Union Bancaire Prive.Jacques de Saussure, senior partner at Switzerlands third-largest private bank, confirmed Pictet was grappling with the same currency mismatch as many of its Swiss competitors.
Credit Suisse takes top gong again
Credit Suisse was named Outstanding Global Private Bank for the second year running at the VRLPrivate Banker International 21st annual awards at Singapores Raffles Hotel. Close to 200 bankers from across the world attended the event to see the industrys leading lights recognised for their achievements.
Barclays set to beat 2010 pre-tax profit level
Barclays Wealth reported 13% income growth and a 25% rise in pre-tax profit to £153m ($245m) in the nine months to 30 September when compared to the same period a year ago.Pre-tax profit made a massive jump in the third quarter, increasing £65m from its 30 June total of £88m. It means that Barclays is likely to significantly beat its 2010 pre-tax profit total of £163m.
Credit Suisse fined $9.5m for suitability flaws
Credit Suisses UK is to pay £5.95m ($9.5m) to UK regulators for systems and controls failures around the sale of structured capital at risk products (SCARPs) to private banking clients.The failures were discovered after a routine inspection by the Financial Services Authority (FSA) in March 2010.According to the FSA, Swiss banks clients invested over £1bn in SCARPs between January 2007 and December 2009.
Former Fairbairn head sets up new boutique
The former head of Fairbairn Private Bank has left the Nedbank-owned bank to set up Affinity Private Wealth, a new boutique wealth manager. Launched in October 2011, Affinity Private Wealth was founded by Fairbairns former head of private banking David Stearn, Ben Stott, Justin Thomas, Russell Waite and Julia Warrander The new nine-person wealth management business has been launched in Jersey offering investment management and trust services to private clients and trustees in the UK and Channel Islands.
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UBS admits controls failed to stop rogue trades
UBS admitted its risk management controls failed to kick in when systems picked up the estimated $2.3bn in unauthorised trades in its Global Synthetic Equity business. Our internal investigation indicates that risk and operational systems did detect unauthorised or unexplained activity but this was not sufficiently investigated nor was appropriate action taken to ensure existing controls were enforced, Ermotti said.
UBS internal memo on Grübel resignation
By now you will have read the announcement contained in the attached press release, which states that the Board of Directors has accepted the resignation of Oswald J
Gruebel resigns, UBS confirms one-bank model
UBS Group CEO Oswald Grbel has resigned in the wake of the $2.3bn trading loss incurred by a rogue trader at the Swiss banks UK investment arm. UBS, the worlds third-largest wealth manager confirmed its one-bank strategy would continue – but with a less-complex, slimmed down investment bank re-focused on serving its wealth management clients.
Analyst: UBS won’t ring fence private bank
The $2.3bn rogue trading scandal engulfing UBS is unlikely to push the bank into ring-fencing its private client arm but could speed up the downsizing of its investment division, an S&P Capital IQ equity analyst predicts. S&P analyst Frank Braden said the rogue trading incident could lead the Swiss bank to have a greater focus on its wealth management division
DBS wealth arm gets $197m spending boost
DBS Group is to invest an additional SGD250m ($197m) in its private banking division in the next five years. The spending boost will include setting up desks covering the Middle East and other international emerging markets by the end of 2011. DBS will also focus on strengthening its private banking headcount in China and boosting its staff numbers, product range and its wealth platform to grow its high net worth (HNW) client base, the bank said.