UBS, Switzerland's largest investment bank (IB), has appointed Sergio Ermotti as the successor to CEO Ralph Hamers. Following UBS's recent acquisition of Credit Suisse (CS), Ermotti is expected to take on the critical tasks of business restructuring and reorganization.
On the 29th (local time), according to CNBC, the UBS board announced in a statement that Sergio Ermotti, chairman of the board of Swiss Re, the world's largest reinsurer, will return as CEO.
Ermotti previously served as UBS CEO for nine years starting in 2011. At that time, UBS faced a major loss incident due to unauthorized trading of derivatives at its London branch, which severely damaged market trust. He is credited with rescuing UBS from crisis by strengthening the asset management business, which was under pressure to be sold, and implementing rigorous restructuring.
This time, Ermotti is expected to leverage his experience to reorganize overlapping business sectors between CS and UBS and focus on swiftly normalizing management. UBS agreed on the 19th to acquire its competitor CS for $3.2 billion.
Current CEO Ralph Hamers is expected to step down and take on an advisory role.
UBS Chairman Colm Kelleher praised Ermotti, saying, "Based on his unique experience, I am confident he will achieve a successful integration essential to the customers, employees, investors of both banks, and Switzerland as a whole."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
