'UBS has apparently decided that the prospects in this area are not very healthy for them and therefore is exiting this business. In this area, we have a different market position and therefore also a different view', Urs Rohner told the Basler Zeitung daily in an interview published on Saturday.
'In the capital market areas in which we are active, we have a leading position', he said in the interview conducted jointly with Germany's Boersen Zeitung newspaper.
'It is true that some people demand that we pull out of investment banking', Rohner said. 'These people fail to recognize that the capital market business is key for the functioning of efficient global markets, and important for Switzerland's economy, which has a strong international focus'.
In the meantime, Bloomberg reports that Standard Bank has said it may cut as many as 135 jobs in its corporate and investment bank in London to reduce costs amid 'challenging' economic conditions and increased regulation.
Africa’s largest lender may eliminate between 10 - 15% of its 900 permanent positions in London, Johannesburg-based Standard Bank said in an e-mailed statement Friday. The cuts could help remove about $100m of costs as it scales back products and geographies in its corporate and investment bank globally, it said.