Swiss bank UBS is reportedly axing jobs at its asset management unit, in favor of focusing on growth in China and passive and sustainable investing.
The Swiss bank has eliminated at least 100 jobs in asset management in recent months, news agency «Bloomberg» reported. The cuts at asset management, which is the far smaller business than its UBS powerhouse private bank or investment bank, reportedly include areas such as distribution.
«We don’t comment on adjustments that we make over time and are focused on serving the needs of our clients, growing our business and improving efficiency,» a UBS spokesperson told the agency.
Focus on China Growth
Under Ulrich Koerner, UBS' asset management arm has been restructuring to hit a pre-tax profit of 1 billion Swiss francs ($1.01 billion) – with mixed results. Koerner has disposed of assets, overhauled UBS' products, and pushing into passive strategies, which now account for nearly 40 percent of assets managed, or 305 billion francs ($310 billion), according to Bloomberg.
Growth in Asia has also been a particular focus. Last year, UBS secured a private funds license in China, and last month, the bank became the first foreign firm to take a majority stake in a Chinese finance venture. UBS Chairman Axel Weber has also flagged a doubling of the bank's headcount in China.
