Reply #8: Wealth management boosts UBS profit

[UpInArms]

http://www.nzz.ch/2004/08/11/english/page-synd5134378.html

Switzerland’s largest bank, UBS, put in a solid performance in the first half of the year, reporting a 60 per cent leap in net profit to SFr4.4 billion ($3.51 billion).

Rival Credit Suisse last week posted first-half net income of SFr3.3 billion.

But the second-quarter net profit at both banks was down on that reported in the first three months of the year.

UBS said on Tuesday that net profit for the period from January to March was up by 28 per cent over 2003 to SFr1.974 billion ($1.58 billion), with strong revenues from its wealth management business offsetting weaker trading income.

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New money

In its statement, UBS said that the second quarter had seen net new money of SFr16.9 billion, with SFr10.4 billion generated from wealth management clients worldwide.

“Halfway through 2004, we can see that the markets’ astonishing start to the year has settled into a more normal rhythm,” commented UBS chief executive Peter Wuffli.

“In that context, this was a good quarter for UBS, demonstrating the importance of having the world’s leading wealth management operation as a central part of our focused strategy,” he added.

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