UBS Cutting Investment Bank Seen Freeing Investors Cash

UBS AG’s decision to cut as many as 10,000 jobs and retreat from capital-intensive trading businesses will help position Switzerland’s largest bank to return more funds to shareholders.

UBS intends to split off and wind down much of its fixed-income operations, reducing risk-weighted assets by an additional 100 billion Swiss francs ($107 billion), said a person with knowledge of the matter who requested anonymity because the plans are private. The revamp may help the Zurich-based bank meet capital goals faster than it would otherwise. UBS rose the most since January in Swiss trading.