|Bid||0.00 x 900|
|Ask||0.00 x 21500|
|Day's Range||11.45 - 11.57|
|52 Week Range||10.12 - 16.63|
|Beta (3Y Monthly)||1.09|
|PE Ratio (TTM)||10.62|
|Forward Dividend & Yield||0.69 (5.96%)|
|1y Target Est||13.50|
LONDON/DUBAI (Reuters) - Saudi state oil company Aramco has hired UBS Group and Deutsche as bookrunners for its initial public offering, two sources familiar with the matter said, in a sign that the deal is moving ahead despite a recent attack on Saudi oil facilities. Aramco has started informing banks about the bookrunners' roles, one of the sources said. Aramco finalised nine banks for top roles as global coordinators in recent weeks, Reuters has reported.
(Bloomberg) -- UBS Group AG, which runs the biggest foreign-controlled investment bank in China, is counting on the nation’s new Nasdaq-style exchange to mitigate the impact of an underwriting ban in Hong Kong, according to people familiar with the matter.Beijing-based UBS Securities Co. aims to boost fees from arranging share sales on the technology board, known as STAR Market, to 20% of its stock underwriting income from the mainland by December, said the people, asking not to be identified since the projections are confidential. The contribution may reach 50% as soon as next year, with the bank working on two first-time offerings that may raise up to 3 billion yuan ($423 million), they said.UBS, one of two foreign ventures approved to sponsor initial public offerings on Shanghai’s STAR Market, is betting that the high commissions from these issuances will partly offset a revenue decline in Hong Kong, where it has been banned from sponsoring IPOs till April. The Swiss bank is among those expanding in China after taking majority control of its local securities unit as the nation loosens restrictions on foreign participants in its $43 trillion financial industry.“The fees are lucrative,” said Liu Wencheng, co-head of investment banking at UBS Securities. “We are actively mobilizing resources to dig and cultivate high quality tech-innovation companies to tap the opportunity.”Liu wouldn’t comment directly on the bank’s plans for STAR Market.UBS is also focusing to the new bourse after mainland investment banking revenues, including fees from arranging debt sales, dropped 48% last year as the number of large deals shrank, according to the people familiar. In March, it was fined HK$375 million ($48 million) to settle cases brought by Hong Kong authorities and became the only foreign bank banned from sponsoring IPOs for 12 months.The Swiss bank underwrote IPOs totaling $317 million in Hong Kong this year, compared with $1.6 billion in 2018, according to data compiled by Bloomberg. Its tally on the mainland is about $98 million for 2019.A Hong Kong-based spokesman declined to comment on the details of UBS’s China plans.The STAR Market, launched in July, has been hailed as a testing ground for relaxed rules on listing and trading as policy makers seek to stem an exodus of new economy IPOs to Hong Kong and the U.S.For investment banks, there’s the carrot of higher fees. Underwriters typically charge issuers 1.5% to 2% fees for Hong Kong listings, compared with an average 7% on the tech board, according to the people. Also, unlike in Hong Kong, Chinese regulators have capped the number of banks involved to one if the issuer’s IPO size is less than 10 billion yuan.Sponsors on the tech board are required to co-invest in between 2% and 5% of the shares issued by their clients, an unusual arrangement that may limit foreign players’ interest in leading deals due to their limited capital base onshore.To shore up available capital, UBS is seeking special approval to use the Qualified Foreign Institutional Investors program to co-invest in tech board IPOs, the people said.To contact the reporter on this story: Cathy Chan in Hong Kong at firstname.lastname@example.orgTo contact the editors responsible for this story: Candice Zachariahs at email@example.com, Jun LuoFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- A public spat between a pair of Swiss banking giants that erupted almost four years ago is now finally ending with a payment.It began in 2015, when Credit Suisse Group AG accused crosstown rival UBS Group AG of unfairly poaching staff from its U.S. private banking business. UBS Chief Executive Officer Sergio Ermotti personally shot back, insisting at a news conference his firm did nothing wrong.After examining a claim and counterclaim -- plus a revised counterclaim -- a team of arbitrators quietly reached their verdict last week: UBS must pay Credit Suisse $9 million.A copy of the ruling posted online Tuesday doesn’t elaborate on the reasoning behind the award. The companies quickly disagreed on how to interpret it -- with Credit Suisse declaring victory and UBS noting its rival had demanded even more.“This award issued today confirms Credit Suisse’s view that UBS engaged in serious misconduct in connection with its raid of Credit Suisse employees and materials privy to Credit Suisse,” Credit Suisse said in a statement. It praised the trio of arbitrators arranged by the Financial Industry Regulatory Authority. “The panel took the time to carefully review the considerable evidence.”The fracas began when Credit Suisse retreated from managing wealth for U.S. clients. In October 2015, the bank reached an agreement to give Wells Fargo & Co. an inside track on recruiting its private bankers. But within weeks, about 70 of 300 relationship managers included in the deal left for UBS, a person familiar with the matter said at the time.On Tuesday, UBS stood by its position that it acted within the rules after Credit Suisse’s decision to exit the U.S. private-banking business.“UBS believes that these claims were without merit and that this is a bad decision that is out of line with the applicable law,” the bank said in a statement. “While we don’t believe any award was justified, UBS notes that the claimant received only a fraction of what it sought.”(Updates with 2015 events in sixth paragraph.)To contact the reporter on this story: Sonali Basak in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Michael J. Moore at email@example.com, David Scheer, Steve DicksonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Federal prosecutors are closing in on JPMorgan Chase & Co. officials in an investigation of price rigging in precious metals markets.With help from at least two of the bank’s former traders who pleaded guilty, the government is looking to bring charges against people higher up the chain at the bank, two people familiar with the years-old inquiry said. Just last month, a managing director who oversaw global precious-metals trading was placed on leave along with another employee, other people said.The traders who admitted guilt said the manipulation was routine, sanctioned by higher-ups and went on for years. “While at JPMorgan I was instructed by supervisors and more senior traders to trade in a certain fashion, namely to place orders that I intended to cancel before execution,” former trader John Edmonds said at a October 2018 hearing after pleading guilty to commodities fraud and conspiracy.The JPMorgan investigation grew out of a multibank U.S. crackdown on manipulation of commodities markets using techniques including spoofing, in which traders place orders without intending to execute them to try to move prices in their favor. The Justice Department has brought criminal charges against 16 people, including traders who worked for Deutsche Bank AG and UBS Group AG. Seven pleaded guilty, one was convicted at trial and another was acquitted.Deutsche Bank, HSBC Holdings Plc and UBS last year agreed to pay a total of about $50 million to settle civil claims by the Commodity Futures Trading Commission that the firms’ traders engaged in spoofing techniques to manipulate prices of precious-metals futures. Deutsche Bank agreed to pay $30 million, UBS $15 million and HSBC $1.6 million. The banks didn’t admit or deny wrongdoing.Peter Carr, a Justice Department spokesman, declined to comment. The bank disclosed the Justice Department inquiry in company filings earlier this year, saying it was cooperating with the Justice Department and other authorities.Michael Nowak, the managing director who was previously named in a civil suit, was placed on leave in August along with Gregg Smith, according to the people familiar with the matter. Nowak didn’t respond to a request for comment, and Smith couldn’t be reached. The moves were reported earlier by Reuters.JPMorgan officials believe the probe is limited to the bank’s trading desk, one of the people familiar with the matter said. Investigators are examining a paper trail related to the spoofing activities, another person said, in addition to drawing on testimony from former insiders.One of those insiders, Christiaan Trunz, a former trader for Bear Stearns and JPMorgan, told a federal judge in Manhattan last month that spoofing trades of precious metals was rampant at the bank for nearly a decade and that he was taught how to do it from other traders at JPMorgan. Trunz, who pleaded guilty on Aug. 20 to two federal fraud charges, said he manipulated futures markets for gold, silver, platinum and palladium from offices in New York, London and Singapore from 2007 to 2016.“It is understood that spoofing was a strategy that we used to trade precious metals futures,” Trunz said.Trunz was echoing descriptions offered by Edmonds, another trader, who several months earlier pleaded guilty for transactions involving silver futures. He said the conspiracy ran from 2009 to 2015 and involved hundreds of trades that he made personally. Edmonds said he was taught how to rig the market by veterans and supervisors.“I was instructed that if a client wished to sell futures I should simultaneously place both bids and offers with the intent of canceling the bids prior to execution,” Edmonds said during his plea hearing.Edmonds said the purpose was to falsely transmit liquidity and price information in order to deceive other market participants about the supply and demand so they would trade against the orders that JPMorgan wanted to execute.“We created market activity which artificially drove the sale price up and induced other market participants to purchase at an inflated price,” he said. Edmonds entered into a cooperation agreement with the CFTC in July.After Edmonds pleaded guilty, JPMorgan was hit with a proposed class action lawsuit by investors that also names Nowak and another onetime managing director, Robert Gottlieb. Gottlieb didn’t respond to a request for comment.That civil case was put on hold in February after the Justice Department intervened, claiming that the litigation could harm its criminal investigation.\--With assistance from Michelle F. Davis, Mark Burton and Ben Bain.To contact the reporters on this story: Tom Schoenberg in Washington at firstname.lastname@example.org;Joe Deaux in New York at email@example.comTo contact the editors responsible for this story: Jeffrey D Grocott at firstname.lastname@example.org, David S. Joachim, Peter BlumbergFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Former Deutsche Bank chief executive John Cryan is to take over as chairman of Man Group, capping a week of boardroom upheaval at the world’s largest publicly traded hedge fund group. Mr Cryan will succeed Ian Livingston, who will quit at the end of 2019 after almost four years in the role. Under Lord Livingston’s time as chair they have risen by about 10 per cent.
The question goes to the heart of securities markets, which routinely churn billions of dollars of orders per day. Without it, they cannot meet regulatory requirements such as getting the best price on trades, reporting transactions or valuing assets.
Deutsche Bank AG will pay $15 million to resolve claims it conspired to rig prices of bonds issued by Fannie Mae and Freddie Mac , becoming the first of 16 financial services companies to settle litigation by investors. The German bank did not admit wrongdoing in agreeing to the settlement, which also requires that it bolster its antitrust compliance procedures and cooperate with the investors. The settlement was disclosed in filings late Wednesday in Manhattan federal court.
UBS Wealth Management USA announced a series of significant enhancements to its equity compensation plan services and digital platform. UBS equity compensation plan clients and the
(Bloomberg) -- UBS Group AG’s broker dealer powerhouse is a key part of advanced talks with Banco do Brasil SA to create a local investment-banking joint-venture, according to people familiar with the matter.The Swiss lender would control the venture, which would handle equity and futures trading as well as investment banking, the people said, asking not to be identified because the discussions are private.Banco do Brasil, the nation’s biggest asset manager, doesn’t have its own brokerage to trade stocks or derivatives, handing that business off to other banks. The Brasilia-based lender had 1 trillion reais ($244 billion) in assets under management as of July, according to Anbima, the country’s capital markets association. UBS’s broker dealer, which has ranked No. 1 in Brazil equity trading since 2014, is in second place so far this year, according to data compiled by Bloomberg.The partnership with UBS would be similar to other arrangements Banco do Brasil has with Mapfre SA in some branches of its insurance business and with Principal Financial Group Inc. on pension plans. The structure would give the government-owned bank the majority of capital, but UBS would have the most voting shares. Giving UBS control means the venture wouldn’t have to comply with some of the constraints Brazil places on state-owned entities, such as restrictions on bonuses and hiring.UBS would gain more access to Banco do Brasil’s trading flows and also the bank’s deep relationships with Brazilian corporations. Banco do Brasil is the biggest lender in Brazil by assets, with a loan book of 686.6 billion reais as of June. Loans to large corporations accounted for about 154 billion reais of the total. The state-owned bank could also help UBS win investment-banking deals that require credit, providing bridge loans for acquisitions or underwriting for local bonds -- markets that are booming this year.UBS ranks seventh in advising on mergers in Brazil this year and sixth in equity underwriting, according to data compiled by Bloomberg. The Zurich-based lender doesn’t participate in the local bond market.Sylvia Coutinho, UBS’s Latin American head of global wealth management and chief executive officer for Brazil, and Banco do Brasil CEO Rubem de Freitas Novaes are among those negotiating the deal, the person said.UBS declined to comment, as did Banco do Brasil, which referred to its statement on Friday where it said it is analyzing alternatives for its capital markets businesses, including partnerships, but there are no binding talks at the moment.UBS’s broker dealer lost its No. 1 rank in Brazil equity trading this year to XP Investimentos SA as many international investors pulled away from the Latin American nation, according to data compiled by Bloomberg. XP handled 724.6 billion reais in gross value this year, while UBS took second place with 557.9 billion reais, the data show. XP also owns brokerages Clear and Rico, which add an additional 176.6 billion reais to the firm’s total.UBS’s head of Brazil equity trading and electronic trading for Latin America, Nilson Monteiro, left the firm earlier this year with another executive and took some clients with him to Ideal Corretora de Titulos e Valores Mobiliarios, two other people familiar with the matter said. Another obstacle for UBS: A change in market rules that makes it easier for high-speed traders to use many brokerages to deliver orders, one person said.UBS sued Monteiro, arguing he wasn’t respecting a one year non-compete agreement that included a remuneration from the bank, according to Mauricio Pessoa, an attorney at Pessoa Advogados who represents UBS. Judge Katia Bizzetto granted UBS an injunction saying Monteiro should give up any management position at Ideal. The judge also imposed a 60,000-real daily fine if he didn’t comply, since Monteiro had “access to confidential and strategic information” at UBS, according to a public filing.The two parts already reached an agreement, two people familiar to the matter said.Monteiro and UBS declined to comment on the agreement.UBS’s brokerage, which doesn’t operate in the retail market in Brazil, has been the nation’s biggest in electronic trading, where foreign investors dominate. The share of foreigners on equity trading markets in Brazil fell to 45.7% this year through Sept. 5, from 48.9% last year, while local retail investors increased to 18.3% in the same period, from 17.9% in 2018, according to Brazil’s stock exchange B3.Although UBS lost market share, its revenue is still growing as the market overall expands, according to a person familiar with the matter. Total daily equity-trading volume in Brazilian markets through Aug. 31 this year was 43% bigger than the same period last year.\--With assistance from Steven Arons, Nicholas Comfort and Vinícius Andrade.To contact the reporters on this story: Cristiane Lucchesi in Sao Paulo at email@example.com;Rachel Gamarski in in Brasilia at firstname.lastname@example.org;Felipe Marques in Sao Paulo at email@example.comTo contact the editors responsible for this story: Alan Goldstein at firstname.lastname@example.org, ;Daniel Cancel at email@example.com, Steve Dickson, Julia LeiteFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
UBS Group (UBS) expects to benefit from Banco do Brasil's strong balance sheet position, and bolster foothold in Brazil through the deal.
Brazilian state-controlled lender Banco do Brasil SA and UBS Group AG are in advanced talks about an investment banking joint venture that could be signed as soon as next month, two sources with knowledge of the matter said. Banco do Brasil, Brazil's second-largest lender, has been considering alternatives to bolster its investment banking business for a while. The bank began to search for a partner last year and held talks with different investment banks, but the process was interrupted by the presidential election.
The world's largest investment banks have had their worst start to a year since 2006, the latest data published by industry analyst Coalition on Thursday shows. "What's been communicated today was a reorganisation, which did not include a specific number of job cuts," a person familiar with the matter said, adding that the restructuring would be carried out by the end of the year. Switzerland's largest bank has shaken up its investment bank several times since the appointment of former investment banker Sergio Ermotti as chief executive in 2011, who implemented an overhaul including sweeping job cuts soon after taking over.
Switzerland's UBS plans another shake-up of its investment banking arm to help boost earnings and curb costs after tough market conditions precipitated a performance dip. The world's largest investment banks have had their worst start to a year since 2006, the latest data published by industry analyst Coalition on Thursday shows. "What's been communicated today was a reorganisation, which did not include a specific number of job cuts," a person familiar with the matter said, adding that the restructuring would be carried out by the end of the year.
Forbes has announced its third annual ranking of America’s Next Gen Best-in-State Wealth Advisors from all 50 states. Locally, four San Diego-based and an additional four Newport Beach-based UBS financial advisors have made the listing.
Papua New Guinea will start preliminary hearings on Sept. 19 into the terms of a A$1.2 billion ($810.5 million) loan from Swiss bank UBS used for an ill-fated government investment in the gas sector, the inquiry's chairman said on Monday. The timetable and terms of reference, released for the first time, also include a focus on how the UBS loan used to buy a government stake in PNG-focused energy firm Oil Search was obtained, whether it resembled previous loans, and whether the government broke its own rules in taking out the loan. Chairman Salamo Injia, a former chief justice, said in a statement on Monday that retired Australian judge John Gilmour would also join the inquiry as a second commissioner.