UBS Traders See 2021 Bonuses Decline About 10% on Archegos Hit
- UBS booked $861 million loss from the collapse of Archegos
- Employees in other divisions to see bonuses rise at least 10%
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UBS Group AG traders will see their bonuses for last year decline by about 10% on average after the bank’s markets unit took an $861 million hit from the collapse of prime brokerage client Archegos Capital Management, according to people familiar with the matter.
The overall bonus pool for employees at UBS is being increased by around 10% from the previous year, said the people, who asked not to be named as the matter is private. Chief Executive Officer Ralph Hamers, on a mission to cut costs through digitalization, said last month that the pool for 2021 would not match the prior year’s 24% increase.