UBS has registered its best quarterly profit since 2015 aided by strong performance at its wealth and investment units in Q3 2021.

The Swiss investment bank benefited from favourable markets and investor sentiment during the period which ended on 30 September 2021.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

UBS Group CEO Ralph Hamers said: “Our business momentum, our focus on fuelling growth, on disciplined execution and on delivering our full ecosystem to clients – all of this led to another strong quarter across all of our business divisions and regions, resulting in a pre-tax profit of USD 2.9bn.”

Key group highlights

UBS Group reported a net profit of $2.3bn in Q3 2021, up 9% from $2bn in the year-ago period.

The bank’s operating income increased to $9.1bn from $8.9 over the period, while operating expenses fell 1% or $93m to $6.2bn on a year-on-year basis.

Its CET1 capital ratio at the end of September 2021 stood at 14.9% as against 13.5% in the prior year.

Global Wealth Management

UBS’ Global Wealth Management (GWM) unit recorded a 43% year-on-year surge in profit.

Pre-tax operating profit at the division increased to $1.5bn during the quarter from $1bn in Q3 2020, aided by higher operating income, partly offset by higher operating expenses.

The unit’s operating income rose 17% year-on-year to $5bn while operating expenses increased 8% to $3.5bn.

The recurring net fee income was $2.8bn, which represents an increase of 23% from $2.3bn in the year-ago period.

GWM’s other income increased by $27m to $119m during this period. This included a $100m gain from the sale of domestic wealth management business in Austria to LGT.

Asset Management

Operating profit before tax plunged 71% to $214m in Q3 2021 from $739m in the same quarter last year, when it made a $571m gain from the sale of a majority stake in Fondcenter.

The unit’s operating income decreased 49% to $593m.

Total operating expenses were $37reg9m, down 10% from the year-ago quarter.

Investment Bank

Profit before tax at the division soared 32% to $837m while operating expenses dropped 10%.

Total operating income rose 1% to $2.5bn. Global Banking revenues jumped 22% to $792m, mainly owing to a rise in Advisory and Capital Markets revenues. Global Markets revenues dipped 7% to $1.72bn.