Introduction
UBS is a multinational diversified financial services company headquartered in Zurich and Basel, having its origins from the Union Bank of Switzerland. With a robust presence globally and in the United States, UBS engages in diverse financial activities, such as retail and commercial banking, investment banking, investment management, and wealth management. Their American headquarters is situated in New York City, and the company operates in over 50 countries with nearly 60,000 employees.
Key Takeaways
- UBS is a Swiss investment bank with an extensive global footprint.
- In March 2023, UBS announced its acquisition of Credit Suisse in a $2 billion all-stock deal orchestrated by the government to prevent Credit Suisse’s collapse.
- Major operational divisions include investment and retail banking, along with asset and wealth management.
- UBS offers private Swiss bank accounts through its retail banking services.
- UBS manages approximately USD $3.2 trillion in assets.
UBS Overview
The name UBS stands for Union Bank of Switzerland, deriving from one of its founders. UBS was born when Union Bank merged with the Swiss Bank Corporation in 1998, making UBS its official name rather than an acronym. The corporate logo of three keys symbolizes confidence, security, and discretion—values carried over from its predecessor.
Major Divisions of UBS
Wealth Management
UBS Wealth Management caters to high-net-worth and ultra-high-net-worth individuals. Its expert financial advisors collaborate closely with clients to manage their comprehensive financial assets, tailoring solutions to meet their specific needs. These advisors may specialize in services such as investment management, tax preparation, and estate planning.
Asset Management
The objective of UBS Asset Management is to deliver superior investment performance and exceptional client service. Going beyond wealth management, it handles collective investments like pension funds and drives its clients’ financial growth. In 2022, UBS had more than CHF 2.8 trillion in invested assets, marking it as the largest bank in Switzerland.
Investment Banking
UBS Investment Bank stands among prestigious global institutions often termed as bulge bracket banks. It plays a major role in underwriting new debt and equity securities for corporations, facilitating the sale of securities, and mediating mergers and acquisitions. Additionally, it provides expert guidance for stock issuance and placement.
Retail Banking
UBS retail banking addresses the mass-market banking needs of individual consumers. Offering a variety of services including savings and checking accounts, mortgages, personal loans, and certificates of deposit (CDs), UBS ensures comprehensive financial support for individuals through its extensive branch network.
What Does UBS Stand For?
UBS stands for Union Bank of Switzerland (“Union de Banques Suisses” in French and “Unione di Banche Svizzere” in Italian). Post-merger with the Swiss Bank Corporation, they retained the shorthand—UBS—as the official name.
Is UBS a US Bank?
Although headquartered in Switzerland, UBS operates as a licensed U.S. bank. The entity, known as UBS Bank USA, has its headquarters in New York City and is registered in Utah.
UBS Wealth Management Explained
UBS Wealth Management provides myriad financial planning services to individuals and businesses, including portfolio management, market research, retirement planning, and educational planning, ensuring comprehensive financial growth and security.
The Bottom Line
UBS is a globally recognized Swiss investment bank operating in over 50 countries with a workforce close to 60,000. With its distinctive and expansive division in investment and retail banking, along with asset and wealth management services, UBS stands as a central figure in the global financial sector.
Related Terms: investment banking, wealth management, asset management, retail banking, multinational financial services, mergers and acquisitions, pension fund.
References
- UBS. “Quarterly Reporting - UBS Group - AG”, Page 10.
