UBS Chief Government Sergio Ermotti mentioned on Friday that the state of affairs at Credit score Suisse has stabilized and he didn’t assume outflows on the embattled financial institution had been persevering with.
Addressing the Swiss Media Discussion board in Lucerne, Ermotti additionally mentioned he hoped there can be an investigation into the circumstances that pushed Credit score Suisse Group to the brink of collapse and led to its takeover by UBS as a part of a rescue orchestrated by the Swiss authorities.
Commenting on his resolution to incorporate in his new management crew Ulrich Koerner, a former UBS government who has led Credit score Suisse since final yr, Ermotti mentioned the financial institution’s issues had been rooted effectively up to now.
“In my view it’s crystal clear, this example didn’t develop within the final six weeks or six months however over the course of the final six, seven years,” he mentioned.
“I hope that, when there might be an investigation, it needs to be lengthy sufficient to correctly perceive every part that occurred,” Ermotti mentioned, addressing the convention from the MS Diamant boat moored on the Lake of Lucerne.
Switzerland’s legal professional basic mentioned final month the nation’s federal prosecutor had opened an investigation into the takeover, trying into potential breaches of Swiss legal legislation by authorities officers, regulators and executives on the two banks.
He additionally mentioned UBS was on observe to shut the transaction inside three months from its March 19 announcement.
Earlier this week, UBS mentioned that following the authorized closing of the transaction it will handle two separate father or mother firms – UBS AG and Credit score Suisse AG – all through the combination course of, which it has mentioned may take three to 4 years.
Throughout that point, every establishment will proceed to have its personal subsidiaries and branches, serve its purchasers and cope with counterparties.