A key member of the Swiss bank's board is reportedly getting in on Wall Street's «blank check» boom. A potential conflict with UBS?
Dieter Wemmer is behind 250 million euro ($30 million) SPAC which plans to invest in insurance technology firms, according to «Bloomberg». He is also a heavyweight on UBS' board, where he sits on the Swiss giant's compensation, audit, and governance and succession committees.
The German and Swiss national was most recently finance chief of Allianz, after several management roles at Zurich Insurance. UBS didn't comment on Wemmer's extracurricular activities, but it is safe to assume that the Zurich-based bank doesn't necessarily view them as conflicting with UBS' interests.
Banned Vs Receptive
The move by Wemmer, who joined UBS in 2016 is still intriguing: the wealth manager reportedly quietly banned its U.S.-based private bankers from recommending investments in the special purpose vehicles to American clients, according to «CNN Business» last month. Seven months ago, UBS had been more receptive, according to a white paper on the new investments.
Wemmer last year lent his influence to a U.S. hedge fund which wanted to push ING for deeper spending cuts, disposals, and riskier assets. The move illustrated the cozy nature of European finance: ING's former boss, Ralph Hamers, now runs UBS.
Coterie Of Financiers
Wemmer joins a coterie of top European bankers getting in on the SPAC boom – including former bosses of UBS and Credit Suisse, Sergio Ermotti and Tidjane Thiam, respectively. UBS' former top private banker, Martin Blessing, told finews.com last month why he helped launch a fintech-focused SPAC.
Credit Suisse employs the banker who led the first underwriting of a SPAC in 2005, Niron Stabinsky. A major U.S. SPAC booster, Michael Klein, also sits on Credit Suisse's board.
