Sergio Ermotti on CS integration: “This is crucial for future success”

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The speech of UBS boss Sergio Ermotti (63) at this year’s Swiss Economic Forum (SEF) was eagerly awaited. Regarding the upcoming “historic Monday”, when Credit Suisse taken will definitely be history, Switzerland’s most powerful banker has yet to allow in-depth examination of the cards.

This did not diminish the goodwill of the audience. Ermotti received several rounds of applause for his statements. There seems to be no doubt that he is the right man in the right place.

It will not be easy

But Ermotti did not try to organize a showcase either. “We have a bumpy road ahead of us,” he said, referring to the integration and restructuring of Credit Suisse. How things will continue with Credit Suisse Switzerland “will be examined and checked in detail by the summer”.

However, Ermotti immediately made it clear that the new major bank UBS would be set up in line with today’s UBS business model. “We will keep less risk on our balance sheet, the business will be less capital intensive, and we will increase the bank’s earnings potential,” he continued.

As it has long been known, UBS plans to reduce Credit Suisse’s risks in investment banking and increase profitability in asset management. At the same time, UBS is growing in wealth management, particularly in Asia and Latin America. “This is crucial to future success in this business.”

“Finally, we will be a comprehensive bank and be able to offer customers all services from a single source,” said SEF’s Ermotti. Corporate customers, large or small, will particularly benefit from this.

Ermotti did not want to comment on how large the cuts in staffing or layoffs would be. “But restructuring is needed and I believe we can also control the staffing situation through volatility, early retirement and a balanced social plan.” (SDA/rae)

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Source :Blick