UBS’s Japan Investment Banking Chairman Matsui to Resign

UBS AG (UBSN), Switzerland’s biggest bank, said Yasuki Matsui will resign as chairman of the investment banking division in Japan, becoming at least the third senior executive in the country to leave a European bank since October.

Matsui, who joined UBS in 2007 from Morgan Stanley (MS) as co- head of Japan investment banking, will leave on Dec. 31, Eiko Noda, a Tokyo-based spokeswoman, said today. She declined to comment on why he is leaving and whether the Zurich-based bank will replace him.

UBS, which took a $2.3 billion loss from unauthorized trading in September, is cutting jobs as it shrink the investment bank to concentrate on wealth management. Credit Suisse Group AG (CSGN), its biggest domestic rival, is also eliminating jobs and trimming riskier assets amid stricter banking rules and global market turmoil stemming from the debt crisis in Europe.

Taiji Okusu, head of investment banking for Credit Suisse in Japan, left the firm last month. Credit Suisse’s Japan Chief Executive Officer Paul Kuo will step down on Jan. 1.

Tomonori Ito, a managing director at UBS who had been co- head of investment banking in Japan, resigned earlier this year to become a professor at Tokyo’s Hitotsubashi University.

Matsui, 55, is out today, said a person who answered the phone at his office in Tokyo.

Reducing Headcount

UBS plans to cut risk-weighted assets at the investment bank by 145 billion Swiss francs ($158 billion), or almost half, by 2016 under new banking rules developed by global finance regulators in Basel, Switzerland. The investment bank will aim for headcount of about 16,000 in the future, Chief Executive Officer Sergio Ermotti said last week, from 17,878 at the end of September.

In Japan, UBS’s rank for managing share sales climbed to 8th this year from 13th for all of 2010, according to data compiled by Bloomberg News. The Swiss bank is 15th for arranging debt sales in Japan in 2011, down from 14th last year.

On advice for mergers and acquisitions involving Japanese companies, UBS’s ranking slipped to 11th so far this year from fifth in 2010, Bloomberg data show, while rival global firms increased their market share. Goldman Sachs Group Inc. (GS) has vaulted to the top position from seventh in 2010, advising Japanese companies including Sumitomo Metal Industries Ltd. and Mizuho Financial Group Inc.

To contact the reporter on this story: Takahiko Hyuga in Tokyo at thyuga@bloomberg.net

To contact the editor responsible for this story: Chitra Somayaji at csomayaji@bloomberg.net

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