What Is UBS?
UBS, formerly known as the Union Bank of Switzerland, is a multinational diversified financial services company headquartered in Zurich and Basel. UBS is involved in virtually all major financial activities, including retail and commercial banking, investment banking, investment management, and wealth management.
UBS has a major presence around the globe and in the United States. It has its American headquarters in New York City. It operates in over 50 countries worldwide, with close to 60,000 employees.
Key Takeaways
- UBS is a Swiss investment bank with global operations.
- It was formed as a merger between Union Bank of Switzerland and Swiss Bank Corp.
- The main divisions of UBS include investment & retail banking and asset & wealth management.
- Its retail banking sector facilitates private Swiss bank accounts.
- The company has approximately USD $4.8 billion in assets under management.
UBS Explained
The name UBS is derived from one of its predecessor corporations, the Union Bank of Switzerland. The current UBS originated when the Union Bank of Switzerland merged with the Swiss Bank Corporation in 1998. Thus, UBS is now used as the company's official name and not as an acronym.
The UBS logo consists of three keys, a symbol taken from the Swiss Bank Corporation. The keys symbolize confidence, security, and discretion.
UBS’s Major Divisions
UBS has several major divisions, offering products and services to numerous clients. These divisions include wealth management, asset management, investment banking, and retail banking.
Wealth Management
UBS wealth management covers both high net worth and ultra-high net-worth individuals. The division’s financial advisors work with clients to understand the breadth of their financial and other assets and develop tailored solutions to meet their needs. Financial advisors may specialize in services, such as investment management, income tax preparation, or estate planning.
Asset Management
The investment aim of UBS asset management is to “deliver superior investment performance and client service.” Asset management differs from wealth management in that it can also describe managing collective investments (such as a pension fund) in addition to overseeing individual assets. For this reason, some deem asset management to encompass wealth management.
UBS has more than CHF 4.4 trillion in invested assets in 2021 and is the largest bank in Switzerland.
Investment Banking
UBS investment bank is considered one of the bulge bracket banks, along with Goldman Sachs, J.P. Morgan, Morgan Stanley, Citigroup, Barclays, Bank of America Merrill Lynch, Credit Suisse, and Deutsche Bank.
Investment banks underwrite new debt and equity securities for all types of corporations, aid in the sale of these securities, and help to facilitate mergers and acquisitions, reorganizations, and broker trades for institutions and private investors. At times, investment banks also provide guidance to issuers regarding the issue and placement of stock.
Retail Banking
UBS retail banking is what many traditionally view as mass-market banking, wherein individual customers use the local branches of larger commercial banks. Other examples of retail banks include Citibank and T.D. Bank.
UBS retail bank offers savings and checking accounts, mortgages, personal loans, debit or credit cards, and certificates of deposit (CDs). The focus is on the individual consumer.
What Does UBS Stand For?
UBS is the acronym for Union Bank of Switzerland ("Union de Banques Suisses" or "Unione di Banche Svizzere" in French or Italian, respectively. In German, it's "Schweizerische Bankgesellschaft"). When Union Bank merged with Swiss Bank, the new entity took on the name UBS.
Is UBS a US Bank?
While UBS is based in Switzerland, it also operates as a licensed U.S. bank, headquartered in New York City and registered in Utah, known as UBS Bank USA.
What Does UBS Wealth Management Do?
UBS Wealth Management provides a range of financial planning services for individuals and businesses. These include portfolio management, market research, retirement planning, and educational planning.
FAQs
What Does UBS Stand For? UBS is the acronym for Union Bank of Switzerland ("Union de Banques Suisses" or "Unione di Banche Svizzere" in French or Italian, respectively. In German, it's "Schweizerische Bankgesellschaft"). When Union Bank merged with Swiss Bank, the new entity took on the name UBS.
What does UBS stand for in banking? ›
UBS AG, also called UBS or UBS Group, major bank formed in 1998 by the merger of two of Switzerland's largest banks, the Swiss Bank Corporation and the Union Bank of Switzerland. Although it is derived from “Union Bank of Switzerland,” the name UBS is not an acronym.
Is UBS a bank or financial institution? ›
UBS is the preeminent universal bank in Switzerland, the only country where we operate in all five of our business areas: personal banking, wealth management, corporate and institutional clients, investment bank and asset management.
Who owns UBS Financial Services? ›
Who are the shareholders of UBS? According to data from Simply Wall Street, UBS Group biggest shareholders are institutional investors, who own approximately 54% of UBS shares. 45.7% of shares are owned by the general public, which individual insiders own 0.3% and private companies – 0.007%.
Is UBS a full service bank? ›
UBS provides a complete set of banking services for individual, corporate and institutional clients.
What makes UBS different from other banks? ›
UBS client services are known for their strict bank–client confidentiality and culture of banking secrecy. Because of the bank's large positions in the Americas, EMEA, and Asia Pacific markets, the Financial Stability Board considers it a global systemically important bank.
What is UBS Bank USA? ›
UBS Bank USA ("the Bank") is a federally regulated, Utah industrial bank. Based in Salt Lake City, Utah, the Bank offers Federal Deposit Insurance Corporation (FDIC)-insured deposit1 accounts and enhanced collateralized-lending services to affluent and high net worth investors.
What are the 3 pillars of UBS? ›
Our culture
- Our Pillars. What we're built on. Capital strength – a balance sheet for all seasons. ...
- Our Principles. What we stand for. Client centricity – clients are at the heart of everything we do. ...
- Our Behaviors. How we do it. Accountability with integrity – take ownership.
About UBS Financial Services Inc.
The RMA is a brokerage account with UBS Financial Services Inc., a registered broker-dealer and a Member of the Securities Investor Protection Corporation (SIPC), which protects securities customers of its members up to $500,000 (including $250,000 for claims for cash.)
Is UBS in financial trouble? ›
Based on the latest financial disclosure, UBS Group AG has a Probability Of Bankruptcy of 37.0%. This is 25.9% lower than that of the Capital Markets sector and significantly higher than that of the Financials industry. The probability of bankruptcy for all United States stocks is 7.11% higher than that of the company.
We have a conservative risk and funding profile, a highly liquid balance sheet and a high-quality and well collateralized credit portfolio.
Is UBS Bank FDIC insured? ›
FDIC insurance4
Deposits at UBS Bank USA are not protected by SIPC but are instead eligible for insurance by the Federal Deposit Insurance Corporation (FDIC) up to $250,000 (including principal and accrued interest) for each insurable capacity (e.g., single, joint, corporate, etc.) in which you hold the deposits.
How does UBS make money? ›
Third-party and affiliate payments We receive payments from third-party product sponsors and managers (or their affiliates) and from our affiliates when we recommend or sell certain products and services to our clients. These include sales charges, selling concessions and other indirect ways of compensating UBS.
Is UBS a fiduciary company? ›
Who Is a Fiduciary? has discretionary authority or responsibility in the administration of a retirement plan. UBS Financial Services Inc. and its Financial Advisors do not act as fiduciaries to your Plan unless otherwise agreed in a written contract under a UBS investment advisory program.
Is UBS a top tier bank? ›
The only tier one investment bank might be JPMorgan Chase because it ranks first or second globally across most product areas. Tier two would be Goldman Sachs, Barclays Capital, Credit Suisse, Deutsche Bank, and Citigroup. Examples of tier three would be UBS, BNP Paribas, and SocGen.
Is UBS one of the biggest banks in the world? ›
Outside of the U.S. and China, France's BNP Paribas is the top European bank with $2.8 trillion in assets. Spain's Santender ranked No. 49 with $1.9 trillion in assets and Switzerland's UBS Group came in No. 92 with $1 trillion in assets.
Is UBS a Chinese company? ›
Headquartered in Zurich, Switzerland, UBS is present in all major financial centers worldwide and has offices in more than 50 countries. UBS operates within different businesses: Global Wealth Management, Retail & Corporate, Asset Management, Investment Bank and Group Functions.
How much money do you need to open a UBS account? ›
UBS checking account requires a minimum initial deposit of $5,000 to open an account.
