UBS Shares Dip as AT1 Case, Swiss Reforms Overshadow Results (1)

UBS Group AG results failed to dispel investor anxiety about risks from previously canceled Credit Suisse bonds, the potential impact of Swiss capital reforms and the lender’s involvement in the First Brands bankruptcy, overshadowing a set of earnings that broadly beat expectations.

Chief Executive Officer Sergio Ermotti played down the risks to the bank from potential client losses on investments in the auto supplier, while Chief Financial Officer Todd Tuckner attempted to bat away questions over the bank’s possible liability in a Swiss legal case over the 2023 write down of Credit Suisse bonds.

The Zurich-based ...