UBS CEO Sergio Ermotti believes that Credit Suisse caused its own downfall in an interview with Migros Magazine. He also rejects a generalized tightening of banking regulations and considers that competition continues to function.
For Sergio Ermotti, part of Credit Suisse’s management, board of directors and shareholders have worked poorly for years. “We tolerated the fact that Swiss regulation, which is demanding, was not systematically applied to Credit Suisse. All these factors contributed to its fall,” criticizes the Ticino resident in the columns of Migros Magazine on Monday.
Sergio Ermotti believes that the integration of Credit Suisse is on the right track. “Currently, Credit Suisse clients are migrating to UBS platforms,” he says, adding that delays in this IT migration constitute the biggest challenge.
The UBS boss also says he is opposed to a general tightening of banking regulations in Switzerland. “This would amount to reducing the speed limit on all roads, simply because an irresponsible motorist known to everyone caused a serious accident,” he illustrates. According to him, introducing rules that other countries do not know weakens the Swiss financial center.
Sergio Ermotti also rejects criticism from small businesses who fear that UBS will rule the roost in the absence of a second major bank. “There are more than 200 Swiss and foreign banks in Switzerland. There is competition,” he notes. Interest rates have generally increased, regulatory requirements have been strengthened and the economic environment has evolved significantly over the past eighteen months. This has nothing to do with UBS.”
Salary based on results
The salary of 14 million francs that the UBS boss received for nine months of work in 2023 has sparked a lot of criticism. Sergio Ermotti says he understands that this remuneration may seem excessive to many people, but at the same time recalls that it was set by the board of directors and was approved by 90% of shareholders during the general meeting. “For me, it is and always has been important to be paid according to my results,” he explains, while wondering why similar amounts paid in sports and entertainment circles do not generate as much interest. debates.
Sergio Ermotti also discusses the reasons which pushed him to agree to take over as general manager of UBS in April 2023. “Two factors were decisive: I felt that it was my duty and I was motivated to do so. “the idea of contributing to the writing of one of the most important chapters in the history of the global financial industry,” he says.
This article was automatically published. Sources: ats/awp
