Swiss banking giant UBS intends to seek merger and acquisition opportunities in the United States in the years ahead. Its chairman, Colm Kelleher, revealed this in an interview with the NZZ newspaper on Sunday.
UBS Looks to Expand in the US
According to Reuters, the chairman noted that the bank wanted to expand its US wealth-management business through potential mergers and acquisitions in three or four years.
He clarified that the focus would be only on wealth management for now. UBS recently faced criticism after it took over former rival Credit Suisse last June.
It faced criticism over a $1.6 trillion-plus balance sheet almost twice the size of the Swiss economy, which prompted the country to review its regulation of systemically important banks.
However, the chairman expressed reluctance when confronted with suggestions for UBS to be subject to higher capital requirements. He told NZZ that excessively high capital could adversely affect shareholders and customers "because banking services become more expensive."
UBS and Credit Suisse Merger
Following the merger with Credit Suisse, former boss Sergio Ermotti returned for a second term. According to Kelleher, Ermotti is suitable for the challenging task of integrating Credit Suisse.
The acquisition of Credit Suisse signifies UBS's strategic direction towards expanding its capital-light businesses.
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