UBS Faces Substantially Higher Capital Rules Under Swiss Proposals
- Regulator Finma to get greater powers to intervene in banks
- Government publishes roadmap for reforms after Credit Suisse
The reforms effectively single out UBS as the country’s sole globally systemic lender.
Photographer: Stefan Wermuth/BloombergThis article is for subscribers only.
UBS Group AG faces a “substantial” increase in regulatory capital requirements under reforms that the Swiss government is advocating for in the wake of the collapse of Credit Suisse.
The Federal Council is proposing that systemically-important Swiss banks must hold significantly more capital against their foreign units, according to a wide-ranging report on banking stability released on Wednesday. In addition, bank-specific capital levels should be boosted to take future risks more into account.