UBS Chairman Is Studying Feasibility of Credit Suisse Merger

The transcript discusses the market's positive reaction to news about potential deals involving UBS and Credit Suisse. It highlights the preliminary nature of these discussions and the possibility of involving other counterparties. The focus is on cost reduction strategies, particularly through back office consolidation, and the potential synergies and challenges of merging two major wealth managers. The discussion also addresses the significant job cuts and regulatory concerns that could arise, especially in the Swiss mortgage market.

What are the implications of combining back office operations for the banks?

In what ways could the merger be seen as an offensive strategy rather than a defensive one?