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UBS prime brokerage revenues up in Q4
27 January 2017
Prime brokerage business boosted UBS's equity trading unit at the end of 2016
Prime brokerage revenues at UBS picked up in the final
quarter of 2016.
The unit, which provides package of services to hedge funds,
saw higher activity between October and December.
It helped the investment bank’s equities
business post higher revenues of 891m Swiss francs ($892), up
Derivatives revenues also increased to Sfr196m from Sfr95m
over the quarter due to improved trading performance.
FX, rates and credit businesses experienced weaker activity.
Net profits for the whole of UBS’s investment
bank climbed to Sfr344m from Sfr223m in the final quarter of
Overall, firm-wide pretax profits at the lender,
Switzerland’s largest, more than tripled during
the course of the three months
Rising interest rates and stocks boosted US wealth
management and the securities unit and the firm put less money
aside for litigation.
However, the bank suffered outflows in its home market as
clients moved money out of Switzerland before the government
shares their data with tax authorities.