UBS reports large money inflows

26 April 2011

UBS, the biggest bank in Switzerland, has reported considerable new money inflows following first quarter profits that were greater than that estimated by analysts.

The institution recorded its largest inflows since 2007, despite net income falling to 1.81 billion Swiss francs ($2.05 billion) from 2.2 billion Swiss francs 12 months ago.

It means the intake was markedly higher than the 1.69 billion Swiss francs previously predicted by experts consulted by Bloomberg.

Oswald Gruebel, chief executive officer at UBS, said the increase has been down to clients regaining trust and confidence.

Frankfurt-based analyst Dirk Becker told Bloomberg: "The main thing is they're having inflows again and that's good. The investment bank will remain a construction site for UBS for a while."

The news comes after Morgan Stanley recorded first quarter profits that were better than initially anticipated by numerous industry figures, when it posted earnings of $968 million from continuing operations that came to 40-cents a share.

By Asim Shah

Become a bobsguide member to access the following

1. Unrestricted access to bobsguide
2. Send a proposal request
3. Insights delivered daily to your inbox
4. Career development