UBS profits hit as Eurozone woes take toll
UBS profits have plunged by 76 per cent the bank revealed in its latest quarterly results.
Net income for the last three months of 2011 were 393m Swiss francs (£270m), down from 1.7bn francs during the same period the previous year.
Business levels fell both at its key wealth management unit, as well as at its struggling investment bank.
The banks also forecast a poor first quarter as uncertainty surrounds the Eurozone, its banks and US deficit issues, as it posted a sharp drop in fourth-quarter profit that missed analyst expectations.
“Traditional improvements in first quarter activity levels and trading volumes may fail to materialize fully, which would weigh on overall results for the coming quarter, most notably in the investment bank,” UBS said in its earnings report.
“Nevertheless, we believe our asset-gathering businesses as a whole will continue to attract net new money as our clients recognize our efforts and continue to entrust us with their assets.”