UBS investment bank hit by Archegos

摘要

UBS joined the ranks of banks revealing losses from prime broking client Archegos Capital Management, which wiped out almost half of its investment banking profits in what would otherwise have been the unit's best quarter in a decade. UBS took a US$774m hit from Archegos in the first quarter, which contributed to a 7% drop in investment banking operating income to US$2.27bn compared with a year earlier. The biggest impact was on global markets where operating income fell 27% to US$1.48bn. It would have risen 11% but for the Archegos loss. Global banking income rose 48% to US$788m driven mainly by a surge in equity capital markets fees, though the rise was lower than the increase in the global fee pool. The firm also produced a 12% increase in advisory revenues, particularly for Europe, the Middle East and Africa.