The chase for new clients is on at UBS and the biggest Swiss bank will rely on co-operations with rivals in some markets. The bank expects its recent deal in Brazil to give the investment bank a boost.
Switzerland’s No. 1 and Banco do Brasil had been considering a joint venture for quite some time, before coming to a conclusion.
The deal, which was handled by the UBS investment bank, will give the bank a leading role in the South-American market. Sylvia Coutinho, head of Brazil at UBS, wants to achieve this goal as quickly as possible, she told «Reuters» in an interview.
Investment Bank Reorganization
With the expectations of an impending slowdown of global economic growth, UBS is eager to get access to new markets in its bid to generate growth. The joint venture in Brazil is designed to help the bank lower the pressure on fees, according to Rob Karofsky, the co-head of the investment bank.
While Karofsky and Piero Novelli are expanding their business in South America, the unit otherwise is undergoing a reorganization that may lead to hundreds of job cuts. In recent weeks a number of high-ranking executives have decided to leave the investment bank.
