UBS and Credit Suisse are at home in the world's financial centers, often in highly symbolic buildings. Now, UBS has no interest in Sydney's Credit Suisse Tower despite having some of the city's best views.
With its acquisition of Credit Suisse, UBS Wealth Management is returning to Australia after an absence of several years. Taking over as head of wealth management is Michael Marr, who previously worked in this capacity for Credit Suisse Down Under.
UBS pulled out in 2015 and sold its Australian wealth management division.
Skyscraper Naming Rights
In general, Credit Suisse has always been highly prominent in the Australian business world, and even more so at one of the most beautiful locations in the financial metropolis.
Its logo still shines brightly over Sydney Harbor, at the top of the Gateway building on Circular Quay. The Swiss bank rents four floors in the 167-meter-high skyscraper, belonging to the real estate investment fund Dexus. It also owns the naming rights to the skyscraper.
No UBS Interest
Credit Suisse's lease still has a few years to run. But as the Australian business newspaper «Financial Review» (behind paywall) reports, UBS probably doesn't want to pay for too long.
That leaves the question of when, not if, the Credit Suisse name will disappear from Sydney's skyline.
Another Location
Despite the magnificent view of Sydney Harbor with its famous Opera House and the Harbor Bridge, UBS doesn't want to replace the Credit Suisse name at the top of the Gateway building with its logo.
UBS is happy with its location in nearby Chifley Tower and has already signed a long-term lease for a new sister building next door, it says. It has no interest in putting its name on the building of another bank or asset manager, it said.
«Curse» of Naming Rights
If anything, buying naming rights for buildings has proven to be a red flag for large offshore investment banks in Australia, the business daily adds.
Deutsche Bank, the owner of the naming rights to nearby Deutsche Bank Place, has long since ceased to be the investment bank it was a decade ago, while ABN Amro, owner of Aurora Place, is only a shadow of its former self in the Australian business world.
Based in the Shopping District
Royal Bank of Scotland, which had acquired ABN Amro and the naming rights, has long since disappeared from the Australian M&A and capital markets. Perhaps sensing precedent Australian investment bank Macquarie has lost interest in the naming rights.
That leaves only the two US financial giants Citi and JP Morgan, which also own naming rights to their buildings. However, both are based in the shopping district and not in the financial district of the city.
