Global Asset Management

Business description

Two principal client segments:

Institutional: corporate and public pension plans; endowments, municipalities, charities and private foundations; insurance companies; governments and their central banks; and supranationals.

Wholesale intermediary: financial intermediaries including Wealth Management and third-parties.

Broad range of investment capabilities and services:

Traditional, alternative, real estate, infrastructure and private equity investments.

Over 500 investment funds, exchangetraded funds and others.

Performance in 2008

Global Asset Management recorded a pre-tax profit of CHF 1,333 million, an 8% decrease from CHF 1,454 million in 2007. Excluding costs related to the closure of Dillon Read Capital Management in 2007 and the gain on UBS’s sale of its minority stake in Adams Street Partners in 2008, full-year pre-tax profit would have decreased CHF 501 million due to lower performance fees and lower management fees.

The business division saw net new money outflows of CHF 103.0 billion for full-year 2008, compared with outflows of CHF 15.7 billion for full-year 2007. Flows through UBS channels – namely the asset management flows relating to Global Wealth Management & Business Banking clients – accounted for more than a third of these full year 2008 outflows and UBS reputational issues also impacted third-party flows.

Business division reporting