Swiss banking institution, UBS Group AG (SIX:UBSG), has initiated a significant restructuring process in Spain, resulting in the layoff of all investment bankers from its competitor Credit Suisse (SIX:CSGN). The move also affects a portion of back and middle office personnel within wealth management, impacting precisely 147 individuals.
This decision signifies a substantial scale-down of Credit Suisse's securities unit. As part of this strategy, UBS plans to close around two-thirds of its rival's investment bank. The restructuring is part of UBS's risk reduction strategy and cost-cutting objectives following the Swiss National Bank's €3 billion bailout and acquisition of Credit Suisse.
The move also aligns with UBS's plans to reduce the size of the rescued bank, particularly in non-strategic areas. After selling its investment banking area to Singular Bank, UBS maintains its commitment to its wealth management area in Spain and North America.
In an attempt to balance the workforce reductions planned over two years, UBS is offering select Credit Suisse bankers an opportunity to stay. The bank aims at an accelerated growth strategy and deepening client potential amidst these changes. The restructuring affects not only Spain but also extends to various divisions across Europe and North America.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.