Success in an integrated German business

Germany is a key European market for UBS. In order to continue to exploit the available potential, UBS is pursuing a clear growth strategy in Germany encompassing all three core businesses, namely wealth management, asset management and investment banking.

Until a few years ago, the three UBS business groups operated largely independently of one another, each with its own, separate marketing and support functions and culture. Now, with an integrated business model in place, UBS is able to provide its German clients with solutions that transcend the boundaries of individual business groups.

The fi rst steps to integrate the business were made in 2001, when employees from all three businesses were moved into a building in the heart of Frankfurt, Germany ’s fi nancial capital. A year ago, the integration was completed with the merger of the German legal entities of wealth management and the investment bank, along with the integration of the asset management business ’ local sales force.

The move has been extremely successful and the market position of all the business groups has improved. Wealth management, for example, has almost tripled its invested assets over the past two and a half years alone – some of which refl ects a series of acquisitions such as that of Sauerborn Trust AG and the German private client business of Merrill Lynch.

The asset management business has gone from being a niche player to one of the premier participants in the institutional and mutual fund business, signifi cantly growing the volume of invested assets in each of the past three years‚ while the Investment Bank has been one of Germany’s leading investment houses for some time and is now involved in most major transactions.

In addition to the interdependence of local and global strengths, the willingness of the business groups to deal openly with one another and learn from each other has been vital to this success. UBS now aims to shed its image as a foreign brand and become accepted as a part of the German fi nancial landscape. To this end, UBS will continue to add to its existing local presence with its plans to open two new offi ces in Germany this year.