UBS's focus on rich pays off

Now Reading:

UBS's focus on rich pays off

Text size Aa Aa

UBS has won back the title of the world’s largest private bank.

As inflows of fresh funds from super rich clients surged last year, it knocked Bank of America from the top spot.

The rankings – compiled by London-based wealth management consultant Scorpio Partnership – indicated restored confidence in the Swiss bank following the financial crisis.

Scandal-tarnished UBS said in October that it would axe 10,000 staff and scale back its riskier investment banking division in favour of private bank efforts, that is investing money for high wealth customers.

Activist fund Knight Vinke in May launched a campaign to break up UBS, though a forecast-beating first quarter and the highest wealthy customer inflows in six years took some of the sting out of the shareholder’s demands.

After UBS and Bank of America, US banks Wells Fargo and Morgan Stanley as well as Switzerland’s Credit Suisse round out the top five in the Scorpio list.