UBS says Swiss committee banking proposals add about USD 13 billion in parent capital needs
UBS•Estimated impact on parent and Tier 1 capital
The proposals would lift backing for foreign-subsidiary investments to 50% CET1 and up to 50% AT1, from 45% CET1 and 15% AT1.
UBS estimated about USD 13 billion of incremental Tier 1 capital at UBS AG, on top of USD 2 billion from earlier ordinance changes.
It said total incremental Tier 1 capital since the Credit Suisse acquisition would be about USD 30 billion, while ordinance changes were expected to remove USD 4 billion of CET1 at group level.
UBS backs targeted rule changes but warns of higher costs
UBS said it backed targeted, internationally aligned changes to Swiss banking rules, including closer alignment of AT1 instruments with global practice.
It warned that WAK-S recommendations would materially raise costs, tightening already stringent Swiss capital requirements amid global deregulation elsewhere.
