UBS to Exit Broker Pact Weeks After Morgan Stanley Defected
- UBS to pull out of agreement on Dec. 1, according to memo
- Bank says focus is on retaining instead of recruiting advisers
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UBS Group AG is withdrawing from an industry pact designed to allow financial advisers to change companies without being sued by former employers, further destabilizing the accord after Morgan Stanley’s October exit.
The Zurich-based firm will no longer adhere to the Protocol for Broker Recruiting as of Dec. 1, according to an internal memo from Tom Naratil, president of wealth management Americas. On Wall Street reported the decision earlier Monday.