UBS Winds Down O’Connor Funds in Sign of First Brands Strain

UBS Group AG is liquidating two invoice finance funds with exposure to First Brands Group, an early sign of how large financial institutions are dealing with the fallout from the bankrupt auto-parts supplier’s collapse.

The Swiss lender is closing the Working Capital Finance Opportunistic funds at its Chicago-based hedge fund business O’Connor, which has seen its performance dented by direct exposure to First Brands. That followed redemption requests, according to a person with direct knowledge of the matter.