UBS share buybacks may be at risk from regulators
Employees pass between offices as UBS Group AG logo sits on a walkway at the UBS headquarters in Zurich, Switzerland, on Monday, Jan. 22, 2018. A UBS loan backed by shares of Steinhoff International Holdings NV was to blame for the majority of the Swiss banks 79 million francs ($82 million) in credit losses in the fourth quarter, a person with knowledge of the matter said. Photographer: Stefan Wermuth/Bloomberg
The banking group may need an extra $20B buffer under new rules.
New bank capital rules recently put forward by Switzerland may crimp UBS Group AG’s ability to carry out share buybacks, weakening the firm’s appeal for investors, according to KBW analysts.
UBS faces additional capital needs of $17 billion if the sweeping changes were to be adopted, KBW
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