UBS expects boost in second quarter net profits

22 July 2013

UBS has said it expects a 690 million Swiss franc ($734 million) net profit for the second quarter of 2013, a rise compared to the same period last year.

The institution set aside 865 million francs to cover a Federal Housing Finance Agency lawsuit over mortgage investments.

Net profits from the second quarter of 2012 stood at 425 million francs. UBS did not give any details or specific amounts required to settle the case.

The company is the largest private bank in the world and is recovering from a series of scandals, including a $1.5 billion fine for manipulating the Libor rates.

It said net new money was 10.1 billion francs for the three-month period at the private banking arm, while its US-based brokerage took 2.7 billion francs. However, its asset management arm suffered and relinquished two billion francs.

UBS will announce its official results for the second quarter of the year on 30 July.

By Gary Cooper

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