The Swiss Bank UBS said it had lost $ 774m in a broker-dealer linked to the bombing of Archegos Capital’s family office, which snatched its first-quarter earnings.
The crash was much lower than their counterparts, which included $ 5.5bn for a close bank associate Credit Suisse.
On Tuesday UBS also reported a first-quarter profit of $ 1.8bn, 14% per annum, and a positive ahead of the expectations even though Archegos did, while the fraudulent markets were filled with customer service.
The bank said it had squandered their access to Archegos, resulting in a total decline of $ 434m in its three-quarters payout.
Despite these losses, the distribution of money changes in the bank, says UBS. The quarterly rate at the end of the last quarter – the bank’s inflation rate – was 14%, the bank said, before adjusting 13%.
“We are all disappointed and deeply aware of this,” said Ralph Hamers. “A comprehensive review of the risk management measures is taking place and appropriate measures are in place to prevent such incidents in the future. This has not stopped us from helping our clients. ”
With the exception of the savings bank – where profits were pre-taxed 42% – profits went up for the rest of the UBS fund. Customer delivery increased by more than $ 100bn in the first three months of 2021 to $ 4.2tn.
His asset management business posted a 16% interest rate before paying tax to $ 1.4bn. The incentive came as a result of customers’ radical change in profits, as well as energy expenditure, UBS revealed, and leasing wealthy clients – including family offices such as Archegos – increased to $ 219bn.
The asset management unit also benefited from a significant increase in revenue, showing a 45% annual increase in profits for the first quarter of tax before $ 227m.
Prices went up by 153% over the quarter while markets returned to promising government immunizations and the potential for a vaccine to bring about an immediate end to the economic crisis of the coronavirus.
UBS International Bank also performed well, with pre-tax earnings rising 11% to $ 358m.