April 19 (Bloomberg) -- David Gray, UBS AG’s Asia-Pacific head of prime services for hedge funds, has left the largest Swiss bank by market value after 17 years.
Chris Cockerill, a Hong Kong-based spokesman for UBS, confirmed Gray’s departure via e-mail. His replacement will be announced “in due course,” he added, declining to give further details.
Gray is leaving the bank at a time when Asian hedge fund assets are recovering from the trough in the global financial crisis and competition for business among prime brokers has intensified.
Asia-focused hedge funds drew more than $500 million of new capital in the fourth quarter, narrowing the gap with industry assets of $111.38 billion at the end of 2007 to 25 percent, according to Chicago-based data provider Hedge Fund Research Inc.
Banks including Barclays Plc and Citigroup Inc. have been expanding their prime services teams in the region. Prime brokerage provides services such as trade settlements, stock lending, consulting to hedge funds and introduce them to potential investors.
UBS was ranked by trade journal AsiaHedge in May last year as the third-largest prime broker in Asia-Pacific behind Goldman Sachs Group Inc. and Morgan Stanley in terms of the 189 number of mandates it received.
It was in fifth place by the estimated $14.8 billion of hedge funds it controlled, lower than Deutsche Bank AG and Credit Suisse Group AG in addition to the U.S. banks.
UBS promoted Gray as Asia-Pacific head of prime brokerage in March 2007, according to a statement posted on the bank’s website. He joined UBS in 1994, and took responsibility for building up the bank’s Australia prime brokerage business in 2001, it said.
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