SNB’s Schlegel sees need for analysis of UBS’s capital requirements

By Thomson Reuters Mar 28, 2024 | 10:36 AM

ZURICH (Reuters) – The Swiss National Bank’s vice chairman called for an in-depth review of UBS’s capital requirements in an interview with Swiss newspaper Finanz und Wirtschaft on Thursday.

“We are not saying at this stage that more capital is needed,” Martin Schlegel said.

“This must first be analysed in depth.”

Schlegel said UBS’s capital needs to be organised in such a way that it can better absorb losses. He also stressed the importance of a sufficient quality and quantity of capital being available.

“It is undisputed that we need adjustments to the too-big-to-fail regime,” he said.

In the interview, Schlegel declined to comment on whether he would consider replacing Chairman Thomas Jordan, who recently announced he would be stepping down in September.

“The central bank is very well-staffed, and continuity at the SNB is in any case assured,” he said.

(Reporting by Noele Illien; Editing by Miranda Murray)