UBS Weighs U.S. Move Amid New Swiss Capital Reforms

Swiss bank UBS is contemplating a potential move to the U.S. as a response to Switzerland's new capital requirements. Executives have met with U.S. officials to explore strategies, including possible mergers or acquisitions. The bank is evaluating steps to safeguard shareholder interests amid these regulatory challenges.

Swiss financial giant UBS is deliberating a possible relocation to the United States in light of proposed Swiss government regulations regarding new capital requirements, according to a report by the New York Post over the weekend.

UBS executives have reportedly engaged in discussions with U.S. President Donald Trump's administration, exploring strategies that might include mergers or acquisitions with a U.S. bank. UBS CEO Sergio Ermotti, in a conversation with Bloomberg TV, reaffirmed UBS's commitment to maintaining its status as a global bank rooted in Switzerland, despite acknowledging the challenges posed by the expected capital requirements.

The Swiss government's proposal, introduced in June following UBS's acquisition of Credit Suisse, mandates the bank to substantially increase its core capital holdings. With apprehensions regarding the proposal's impact on UBS's competitive standing, the bank has considered alternatives, including a headquarters relocation, with London also emerging as a potential option.

(With inputs from agencies.)