UBS positions its global wealth strategy for growth after integration

Global wealth management is entering a more complex environment as regional growth diverges, regulatory expectations tighten and consolidation reshapes the competitive landscape. UBS sits at the centre of these shifts as it completes the Credit Suisse integration, manages uneven performance across its global footprint and responds to proposed capital requirements in Switzerland.

The bank’s third quarter 2025 results underscore these dynamics. Asia Pacific led with $37.9 billion in net new assets and underlying profit before tax of $422 million while Europe, Middle East and Africa (EMEA) posted $5.6 billion in net new assets and profit before tax of $496 million. Switzerland generated $3.2 billion in net new assets with profit before tax of $423 million. The Americas recorded $8.6 billion in net outflows although invested assets remained substantial at $2.284 trillion.

These divergences come as UBS consolidates systems, portfolios and personnel from Credit Suisse while preparing for possible changes to capital requirements that may influence the bank’s ability to deploy balance sheet capacity globally. Economic conditions are mixed, with rate cuts reducing net interest income in Switzerland and parts of Europe while capital markets activity continues to drive client engagement.

Understanding how UBS navigates these pressures provides insight into how global institutions balance integration with growth and respond to shifting supervisory and economic conditions.

Global momentum and the drivers of UBS’s wealth strategy

At the JP Morgan European Financials Conference on 20 November 2025, Sergio P. Ermotti, Group CEO of UBS, outlined how market activity, client engagement and deal pipelines are shaping the bank’s global wealth strategy. UBS reported continued activity across advisory, capital markets and financing in the third quarter, with management highlighting the link between deal pipelines and wealth inflows. While the quarter was softer than the previous year, client activity in wealth management and investment banking remained resilient.

Ermotti noted that fee pools in capital markets were “down around 5–6% year-on-year”, with leveraged capital markets activity “down 25%”. He added that UBS had lost a six-week issuance window in the United States (US), with deals delayed rather than cancelled. He contrasted the current environment with the “very, very exuberant” conditions of November and December 2024, reinforcing the point that seasonality and temporary market dislocations influenced short-term performance even as underlying client engagement remained strong.

Capital markets cycles continue to influence net new money, lending and engagement with ultra high net-worth (UHNW) and institutional clients. When initial public offering (IPO) and financing pipelines reopen, wealth inflows typically strengthen and demand for lending solutions rises, underscoring the connection between investment banking momentum and wealth management activity.

Asset mix has shifted as clients maintain larger liquidity buffers while adding structured products, fixed income and discretionary mandates selectively. Institutional and family office flows remain an important stabiliser, supporting invested assets across booking centres despite periods of market volatility.

Rate cuts in Switzerland and parts of Europe have reduced net interest income, prompting increased emphasis on advisory and recurring fee income. UBS’s ability to offset lower interest revenues with stronger advisory and mandate penetration will influence the trajectory of regional profitability.

These global dynamics intersect with UBS’s emerging post-integration operating model. Consolidating platforms and processes inherited from Credit Suisse enables a more scalable approach to risk, technology and client coverage.

Relative to peers, UBS retains a distinguishing advantage in cross-border wealth, supported by the breadth of its international booking centres and the ability to connect investment banking, lending and advisory services for wealthy households, institutions and entrepreneurs.

Asia’s diversified growth and UBS’s regional priorities

Asia Pacific was the strongest regional contributor in the third quarter, recording $37.9 billion in net new assets, invested assets of $816 billion and profit before tax of $422 million. UBS highlighted that inflows were increasingly diversified, with contributions from Japan, India, Australia and Taiwan rather than concentrated in China. Hong Kong IPO activity continues to influence wealth inflows and client engagement.

Japan has emerged as a renewed pillar of regional momentum. Ermotti, who has visited the market for decades, remarked that he is seeing a “level of confidence and positivism” not evident in earlier cycles, and described Japan as the third largest wealth management market in the world. Increased corporate profitability and governance reforms have supported deeper engagements with high net worth and institutional clients.

India, Australia and Taiwan provide distinct growth channels. In India, UBS is repositioning through an asset-light strategy. In April 2025, UBS transferred its onshore wealth business to a leading local asset manager, 360 ONE Wealth and Asset Management (360 One), while securing warrants for a 4.95% stake in the firm and continuing to serve the former Credit Suisse and UBS India clients who are booked in Singapore. The move allows UBS to exit a sub-scale onshore operation inherited via Credit Suisse while maintaining access to India’s expanding wealth pool. Australia continues to show flows from pension wealth and family offices, while Taiwan contributes consistent high net-worth inflows across cross-border hubs.

In China, UBS remains focused on long-term UHNW and institutional coverage amid slower macro conditions. While near-term inflows have moderated, China continues to be one of the most important wealth markets in Asia, particularly through offshore and cross-border advisory.

Hong Kong capital markets remain a key channel for engagement. Strong IPO activity supports advisory, financing and trading flows across entrepreneur-led and institutional relationships, illustrating how investment banking momentum and wealth inflows reinforce one another.

Asia’s contribution helps stabilise UBS’s earnings profile at a time when the Americas experiences outflows and EMEA conditions remain mixed. The region remains central to UBS’s long-term growth ambitions in global wealth.

Strengthening US UHNW business for high-margin growth

UBS’s Americas business recorded $8.6 billion in net outflows in the third quarter although invested assets remained large at $2.284 trillion. The bank continues to refine its UHNW strategy with a focus on adviser productivity, family office coverage and improved product depth as it works towards a multi-year target of lifting pre-tax margins to 15%.

The structure of the US market presents competitive constraints. Domestic peers can allocate costs across broad franchises spanning retail, corporate and investment banking. Ermotti acknowledged that UBS is unlikely to match US competitors’ margins directly but emphasised the ambition to narrow the gap by focusing on segments where the bank’s global capabilities offer clear differentiation.

Adviser productivity and technology are central to this effort. UBS is investing in upgraded tools, portfolio platforms and risk systems to free adviser capacity and strengthen consistency in client coverage. The bank’s application for a US banking licence reflects its aim to expand deposit and credit capabilities for wealthy households and family offices.

Capital markets and cross-border access remain important advantages. Many US UHNW clients have international business links, multi-jurisdictional family structures or global balance sheets. UBS’s cross-border network and investment banking franchise support demand for structured solutions, global lending and advisory.

Outflows during the quarter reflect adviser turnover, client reallocations and broader market dynamics. UBS aims to stabilise the franchise through targeted hiring, improved retention and clearer articulation of its global value proposition.

The US strategy aligns with group-level profitability goals, with the 15% margin target described by Ermotti as a first plateau rather than a final destination.

Completing the Credit Suisse integration and its operational impact

The Credit Suisse integration remains central to UBS’s operational agenda. By the third quarter the bank had migrated 950,000 of 1.2 million clients, decommissioned half of legacy information technology applications and taken down 60% of servers. Cost synergies continued to materialise, with $10 billion of the targeted $13 billion already achieved.

The remaining migrations are increasingly complex. Ermotti noted that the final 15% of clients include sophisticated relationships with structured products and cross-border accounts requiring careful sequencing across systems and platforms.

A core principle of the integration has been UBS’s decision not to merge technology stacks from both banks. Instead, it opted to migrate all clients to the UBS platform, avoiding delays and risk. Only about 10% of Credit Suisse applications were retained, some of which may be reintegrated after core systems are fully stabilised.

Decommissioning systems reduces operational risk and supports scalability. Data centres and legacy infrastructure are being retired steadily, but the last tranche of synergies will only crystallise once all client migrations are complete and systems can be fully shut down.

Capital stack optimisation has been another focus. Ermotti referenced a significant liability management exercise under which UBS repurchased around $8 billion of expensive Credit Suisse bonds. The transaction reduced Common Equity Tier 1 (CET1) by 10 basis points and resulted in a $500 million charge in the quarter but improves long-term capital efficiency and clarity around the bank’s sustainable earnings power.

Cultural and managerial integration has advanced. Around 20% to 25% of second and third level roles are held by former Credit Suisse staff. Ermotti noted that employee satisfaction levels across legacy UBS and Credit Suisse teams are now aligned and sit roughly 10 points above industry norms, calling this his most important integration metric.

These steps support capital planning and position UBS for a clearer post-integration operating baseline in 2026.

Consolidating EMEA and Swiss domestic operations amid regulatory pressures

EMEA posted $5.6 billion in net new assets in the third quarter with invested assets of $752 billion and profit before tax of $496 million. UBS continues to simplify legal structures and harmonise coverage models to strengthen profitability. Switzerland generated $3.2 billion in net new assets and faces the added challenge of potential capital requirements that may influence competitiveness.

Legal-entity simplification and portfolio alignment across EMEA contribute to improved cost efficiency and support more consistent coverage across booking centres.

Macro conditions differ significantly across EMEA. Europe faces slower wealth creation, while Middle Eastern flows remain supported by sovereign and institutional activity. African clients continue to engage primarily through international booking centres.

The Swiss domestic franchise is navigating a lower-rate environment that has reduced net interest income. Retail and commercial integration has added complexity: UBS combined approximately 200 UBS branches and 100 Credit Suisse branches across a small geographic footprint, alongside the migration of retail clients and products. Ermotti emphasised that maintaining market share through this period was a notable achievement given the operational challenges involved.

Proposed changes to Switzerland's capital framework, including the ordinance proposal, have become a central focus. Ermotti argued that aspects of the proposal are “far away from international standards” and not aligned with the causes of the Credit Suisse collapse. He stressed the need for a competitive and internationally consistent capital regime for Swiss institutions.

The regulatory debate is occurring alongside legal proceedings related to the write-down of Credit Suisse Additional Tier 1 (AT1) securities, which continue to shape public and political perceptions of supervisory oversight. While not addressed directly in his remarks, these proceedings provide an important backdrop to Ermotti’s emphasis on stability, predictability and international alignment.

These pressures have implications for UBS’s global competitiveness. Capital calibration affects pricing, risk capacity and the bank’s ability to support cross-border clients, reinforcing the importance of a regulatory framework that preserves both financial stability and international relevance.

Implications for global institutions and the next steps for UBS

UBS’s third quarter results show how integration, regional divergence and regulatory developments converge to shape global wealth strategy. The bank’s experience demonstrates the importance of managing these elements as interconnected priorities.

For peers, UBS’s approach to integrating Credit Suisse highlights the value of sequencing, simplification and cultural clarity. Migrating clients onto a single platform, rationalising systems and integrating teams early have helped maintain client engagement while delivering cost synergies.

The regulatory developments in Switzerland illustrate the importance of preparing for changes in capital and supervisory frameworks. For large cross-border institutions, domestic rules that diverge from international norms affect competitiveness, balance sheet flexibility and long-term strategy.

Regional prioritisation remains vital for global competitiveness. Asia’s diversified growth, the repositioning of the US UHNW business and the stabilisation of EMEA and Switzerland show how institutions must balance growth, risk and capital across markets while completing legacy integrations.