UBS CEO Ermotti on Earnings, Shareholder Payouts

The transcript covers UBS's strong performance across various business units, including wealth management and investment banking. It discusses the impact of market conditions and strategic initiatives on growth, as well as the company's approach to dividends and buybacks. The conversation also touches on loan provisions, economic outlook amid COVID-19, and UBS's strategy regarding mergers and acquisitions. The leadership transition and future strategic direction are highlighted, emphasizing the importance of organic growth and maintaining a competitive edge.

Which business unit at UBS saw an 18% increase in the third quarter?

• Asset Management

• Wealth Management

• Swiss Business

• Investment Banking

What was a key factor in UBS's strong performance in the third quarter?

• Increased volatility

• Regulatory changes

• New product launches

• Cost management

What is UBS's approach to capital return?

• A combination of cash dividends and share buybacks

• Only share buybacks

• Only cash dividends

• Reinvesting all profits

When does UBS expect to realistically pay dividends in 2021?

• Early 2021

• Not in 2021

• Mid 2021

• Late 2021

What is UBS's strategy regarding loan provisioning amid COVID-19?

• Increase provisions significantly

• Eliminate provisions

• Maintain current levels unless a major downturn occurs

• Reduce provisions

How does UBS view its exposure to credit markets?

• Contained risk

• High risk

• Moderate risk

• No risk

What is UBS's stance on mergers and acquisitions?

• Avoiding M&A entirely

• Actively seeking M&A opportunities

• Focusing on organic growth

• Waiting for regulatory approval

What might push the M&A narrative higher for banks in Europe and Switzerland?

• Increased competition

• Regulatory stymie of dividend payments

• Technological advancements

• Market saturation

What was one of Sergio's reflections on his time at UBS?

• He regretted the capital return strategy

• He was proud of the employee satisfaction levels

• He wanted to expand more into Asia

• He wished he had focused more on M&A

What is Sergio's view on holding cash in the current market environment?

• It's the best strategy

• It's risky

• It's painful but important

• It's unnecessary