4q18restatedtimeseries

 



UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

_________________

 

FORM 6-K

 

REPORT OF FOREIGN PRIVATE ISSUER

 

PURSUANT TO RULE 13a-16 OR 15d-16 UNDER

THE SECURITIES EXCHANGE ACT OF 1934

 

Date: March 18, 2019

 

UBS Group AG

Commission File Number: 1-36764

 

UBS AG

Commission File Number: 1-15060

 

 

(Registrants' Name)

 

Bahnhofstrasse 45, Zurich, Switzerland

Aeschenvorstadt 1, Basel, Switzerland

(Address of principal executive offices)

 

Indicate by check mark whether the registrants file or will file annual reports under cover of Form 20‑F or Form 40-F.

 

Form 20-F                         Form 40-F 

 


 

This Form 6-K consists of the UBS Group AG updated timeseries showing historical financial information reflecting changes to UBS's cost and resource allocation methodology and funds transfer pricing framework, which appear immediately following this page.

 

  

 


 

Group time series

 


 

UBS Group key figures

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of or for the quarter ended

 

As of or for the year ended

USD million, except where indicated

 

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

Group results

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating income

 

6,972

7,428

7,644

8,168

7,207

7,403

7,469

7,543

 

30,213

29,622

28,729

Operating expenses

 

6,492

5,724

5,938

6,069

6,362

6,139

5,922

5,849

 

24,222

24,272

24,519

Operating profit / (loss) before tax

 

481

1,704

1,706

2,100

845

1,264

1,548

1,694

 

5,991

5,351

4,209

Net profit / (loss) attributable to shareholders

 

315

1,253

1,382

1,566

(2,417)

982

1,153

1,251

 

4,516

969

3,348

Diluted earnings per share (USD)

 

0.08

0.33

0.36

0.41

(0.65)

0.26

0.30

0.33

 

1.18

0.25

0.88

Profitability and growth

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on equity (%)1

 

2.4

9.7

10.5

11.8

(18.0)

7.2

8.6

9.4

 

8.6

1.8

6.1

Return on tangible equity (%)2

 

2.9

11.2

12.2

13.6

(20.3)

8.3

9.9

10.8

 

10.0

2.2

7.1

Adjusted return on tangible equity excluding deferred tax expense / benefit and deferred tax assets (%)3

 

1.0

15.8

16.4

18.3

8.3

13.3

15.9

17.5

 

12.9

13.7

11.3

Return on common equity tier 1 capital (%)4

 

3.7

14.5

16.1

18.3

(28.8)

11.7

14.3

16.3

 

13.1

3.0

10.9

Return on risk-weighted assets, gross (%)5

 

10.8

11.6

11.8

12.9

11.9

12.0

12.8

13.7

 

11.8

12.6

13.1

Return on leverage ratio denominator, gross (%)5

 

3.1

3.3

3.3

3.6

3.2

3.3

3.4

3.5

 

3.3

3.3

3.2

Cost / income ratio (%)6

 

92.4

77.0

77.4

74.1

87.2

83.0

78.8

77.5

 

79.9

81.6

85.2

Adjusted cost / income ratio (%)7

 

92.2

75.9

75.9

75.3

83.6

79.0

76.2

74.3

 

79.5

78.2

80.8

Net profit growth (%)8

 

 

27.6

19.9

25.1

 

19.0

3.0

82.6

 

366.0

(71.1)

(48.3)

Resources

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets

 

958,489

950,192

952,817

964,260

939,279

943,310

928,422

908,058

 

958,489

939,279

918,906

Equity attributable to shareholders

 

52,928

52,094

51,210

53,662

52,495

55,156

54,072

53,769

 

52,928

52,495

52,916

Common equity tier 1 capital

 

34,119

34,816

34,116

34,774

33,516

33,685

33,227

31,251

 

34,119

33,516

30,156

Risk-weighted assets9

 

263,747

257,041

254,603

266,169

243,636

245,723

246,644

221,355

 

263,747

243,636

218,785

Common equity tier 1 capital ratio (%)9

 

12.9

13.5

13.4

13.1

13.8

13.7

13.5

14.1

 

12.9

13.8

13.8

Going concern capital ratio (%)9

 

17.5

17.9

17.8

17.3

17.6

17.4

17.2

18.2

 

17.5

17.6

17.9

Total loss-absorbing capacity ratio (%)9

 

31.7

31.8

32.3

31.2

33.0

32.9

31.2

33.2

 

31.7

33.0

31.1

Leverage ratio denominator9

 

904,598

915,066

910,383

925,651

909,032

913,688

897,057

879,477

 

904,598

909,032

855,255

Common equity tier 1 leverage ratio (%)9

 

3.77

3.80

3.75

3.76

3.69

3.69

3.70

3.55

 

3.77

3.69

3.53

Going concern leverage ratio (%)9

 

5.1

5.0

5.0

5.0

4.7

4.7

4.7

4.6

 

5.1

4.7

4.6

Total loss-absorbing capacity leverage ratio (%)9

 

9.3

8.9

9.0

9.0

8.8

8.9

8.6

8.4

 

9.3

8.8

7.9

Liquidity coverage ratio (%)10

 

136

135

144

136

143

142

131

128

 

136

143

132

Other

 

 

 

 

 

 

 

 

 

 

 

 

 

Invested assets (USD billion)11,12

 

3,101

3,330

3,271

3,309

3,262

3,154

3,033

2,916

 

3,101

3,262

2,761

Personnel (full-time equivalents)

 

66,888

65,556

63,684

62,537

61,253

60,796

59,470

59,416

 

66,888

61,253

59,387

Market capitalization13

 

45,907

58,856

57,654

66,261

68,477

63,551

62,894

59,422

 

45,907

68,477

58,177

Total book value per share (USD)

 

14.35

13.98

13.73

14.27

14.11

14.83

14.55

14.48

 

14.35

14.11

14.25

Total book value per share (CHF)14

 

14.11

13.72

13.61

13.60

13.75

14.36

13.96

14.50

 

14.11

13.75

14.51

Tangible book value per share (USD)

 

12.55

12.25

12.00

12.53

12.34

13.06

12.80

12.74

 

12.55

12.34

12.52

Tangible book value per share (CHF)14

 

12.33

12.02

11.90

11.94

12.03

12.65

12.29

12.77

 

12.33

12.03

12.74

1 Calculated as net profit attributable to shareholders / average equity attributable to shareholders.    2 Calculated as net profit attributable to shareholders before amortization and impairment of goodwill and intangible assets / average equity attributable to shareholders less average goodwill and intangible assets.    3 Calculated as adjusted net profit attributable to shareholders before amortization and impairment of goodwill and intangible assets and before deferred tax expense or benefit / average equity attributable to shareholders less average goodwill and intangible assets and less average deferred tax assets that do not qualify as common equity tier 1 capital.    4 Calculated as net profit attributable to shareholders before amortization and impairment of goodwill and intangible assets / average common equity tier 1 capital.    5 Calculated as operating income before credit loss expense or recovery / average risk-weighted assets and average leverage ratio denominator, respectively.    6 Calculated as operating expenses / operating income before credit loss expense or recovery.    7 Calculated as adjusted operating expenses / adjusted operating income before credit loss expense or recovery.    8 Calculated as change in net profit attributable to shareholders from continuing operations between current and comparison periods / net profit attributable to shareholders from continuing operations of comparison period.    9 Based on the Swiss SRB rules as of 1 January 2020 according to the revised Swiss SRB framework that became effective 1 July 2016.    10 Effective 1 January 2017 the reported quarterly average is the average of daily values during the quarter. The 2016 figure is based on the average of the three month-end values.    11 Includes invested assets for Global Wealth Management, Asset Management and Personal & Corporate Banking.     12 Certain account types were corrected during the fourth quarter of 2017. Prior periods were corrected accordingly.    13 The calculation of market capitalization has been amended to reflect total shares outstanding multiplied by the share price at the end of the period. The calculation was previously based on total shares issued multiplied by the share price at the end of the period.    14 Total book value per share and tangible book value per share in Swiss francs are calculated based on a translation of equity under our US dollar presentation currency. As a consequence of the restatement to a US dollar presentation currency, amounts may differ from those originally published in our quarterly and annual reports.

 

 


 

Income statement

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of or for the quarter ended

 

As of or for the year ended

USD million, except where indicated

 

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

Interest income from financial instruments measured at amortized cost and fair value through other comprehensive income

 

2,683

2,536

2,496

2,386

2,754

2,668

2,599

2,400

 

10,100

10,422

10,379

Interest expense from financial instruments measured at amortized cost

 

(1,781)

(1,645)

(1,576)

(1,388)

(1,489)

(1,411)

(1,356)

(1,148)

 

(6,391)

(5,404)

(4,976)

Interest income from financial instruments measured at fair value through profit or loss

 

1,738

1,814

1,730

1,686

906

1,069

1,125

956

 

6,968

4,056

3,579

Interest expense from financial instruments measured at fair value through profit or loss

 

(1,163)

(998)

(1,655)

(837)

(474)

(521)

(913)

(510)

 

(4,653)

(2,418)

(2,495)

Net interest income

 

1,476

1,707

995

1,847

1,697

1,806

1,455

1,698

 

6,025

6,656

6,487

Other net income from fair value changes on financial instruments

 

1,047

1,165

2,211

1,561

999

1,128

1,496

1,442

 

5,984

5,065

5,023

Credit loss (expense) / recovery

 

(53)

(10)

(29)

(26)

(91)

7

(47)

 

 

(118)

(131)

(38)

Fee and commission income

 

4,700

4,875

4,845

5,178

4,840

4,855

4,872

4,795

 

19,598

19,362

18,374

Fee and commission expense

 

(439)

(409)

(421)

(433)

(485)

(458)

(461)

(437)

 

(1,703)

(1,840)

(1,781)

Net fee and commission income

 

4,261

4,466

4,423

4,744

4,355

4,397

4,411

4,358

 

17,895

17,522

16,593

Other income

 

241

101

43

42

247

65

154

45

 

427

511

663

Total operating income

 

6,972

7,428

7,644

8,168

7,207

7,403

7,469

7,543

 

30,213

29,622

28,729

Personnel expenses

 

3,839

3,936

4,102

4,254

3,980

4,033

4,121

4,065

 

16,132

16,199

15,913

General and administrative expenses

 

2,293

1,462

1,533

1,510

2,088

1,825

1,528

1,508

 

6,797

6,949

7,517

Depreciation and impairment of property, equipment and software

 

343

310

287

288

276

265

256

256

 

1,228

1,053

997

Amortization and impairment of intangible assets

 

17

15

16

16

17

16

16

21

 

65

71

93

Total operating expenses

 

6,492

5,724

5,938

6,069

6,362

6,139

5,922

5,849

 

24,222

24,272

24,519

Operating profit / (loss) before tax

 

481

1,704

1,706

2,100

845

1,264

1,548

1,694

 

5,991

5,351

4,209

Tax expense / (benefit)

 

165

448

322

533

3,234

280

394

396

 

1,468

4,305

777

Net profit / (loss)

 

315

1,256

1,384

1,567

(2,389)

984

1,154

1,297

 

4,522

1,046

3,432

Net profit / (loss) attributable to non-controlling interests

 

1

3

1

2

27

2

1

46

 

7

77

84

Net profit / (loss) attributable to shareholders

 

315

1,253

1,382

1,566

(2,417)

982

1,153

1,251

 

4,516

969

3,348

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per share (USD)

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

0.08

0.34

0.37

0.42

(0.65)

0.26

0.31

0.34

 

1.21

0.26

0.90

Diluted

 

0.08

0.33

0.36

0.41

(0.65)

0.26

0.30

0.33

 

1.18

0.25

0.88

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

Adjusted results1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of or for the quarter ended

 

As of or for the year ended

USD million, except where indicated

 

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

Operating income as reported

 

6,972

7,428

7,644

8,168

7,207

7,403

7,469

7,543

 

30,213

29,622

28,729

of which: gains related to investments in associates

 

460

 

 

 

 

 

 

 

 

460

 

21

of which: gains on sales of real estate

 

 

31

 

 

 

 

 

 

 

31

 

123

of which: gains / (losses) on sale of subsidiaries and businesses

 

 

25

 

 

153

 

 

 

 

25

153

(24)

of which: remeasurement loss related to UBS Securities China

 

(270)

 

 

 

 

 

 

 

 

(270)

 

 

of which: gains on sale of financial assets at fair value through OCI2

 

 

 

 

 

29

 

108

 

 

 

137

213

of which: net foreign currency translation gains / (losses)3

 

 

 

 

 

 

 

(16)

 

 

 

(16)

(84)

Operating income (adjusted)

 

6,782

7,371

7,644

8,168

7,025

7,403

7,378

7,543

 

29,966

29,349

28,480

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses as reported

 

6,492

5,724

5,938

6,069

6,362

6,139

5,922

5,849

 

24,222

24,272

24,519

of which: personnel-related restructuring expenses4

 

95

60

64

68

163

145

120

116

 

286

545

763

of which: non-personnel-related restructuring expenses4

 

93

63

51

68

224

150

145

128

 

275

647

715

of which: gain related to changes to the Swiss pension plan

 

 

 

 

(241)

 

 

 

 

 

(241)

 

 

of which: expenses from modification of terms for certain DCCP awards5

 

 

 

 

 

26

 

 

 

 

 

26

 

Operating expenses (adjusted)

 

6,304

5,601

5,823

6,174

5,949

5,844

5,657

5,605

 

23,903

23,054

23,041

of which: net expenses for litigation, regulatory and similar matters6

 

533

2

132

(11)

185

205

10

33

 

657

434

805

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating profit / (loss) before tax as reported

 

481

1,704

1,706

2,100

845

1,264

1,548

1,694

 

5,991

5,351

4,209

Operating profit / (loss) before tax (adjusted)

 

478

1,770

1,821

1,994

1,076

1,559

1,721

1,938

 

6,063

6,295

5,439

1 Adjusted results are non-GAAP financial measures as defined by SEC regulations.    2  Figures presented for periods prior to the first quarter of 2018 relate to financial assets available for sale.    3  Related to the disposal of foreign branches and subsidiaries.    4 Reflects restructuring expenses related to legacy cost programs as well as expenses for new restructuring initiatives for Global Wealth Management and Asset Management in 2018.    5 Relates to the removal of the service period requirement for DCCP awards granted for the performance years 2012 and 2013.    6 Reflects the net increase in / (release of) provisions for litigation, regulatory and similar matters recognized in the income statement. In addition, it includes recoveries from third parties.

 

 


 

Balance sheet

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of or for the quarter ended

 

As of or for the year ended

USD million, except where indicated

 

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and balances at central banks

 

108,370

94,393

103,166

97,341

90,045

97,647

104,277

108,720

 

108,370

90,045

105,883

Loans and advances to banks

 

16,868

15,631

15,715

13,991

14,094

15,538

15,025

14,194

 

16,868

14,094

12,926

Receivables from securities financing transactions

 

95,349

83,508

77,125

80,785

91,951

107,912

94,205

95,331

 

95,349

91,951

79,936

Cash collateral receivables on derivative instruments

 

23,602

21,821

25,158

25,459

24,040

25,741

23,640

22,478

 

23,602

24,040

26,198

Loans and advances to customers

 

320,352

324,173

321,091

331,667

326,746

323,690

320,160

307,493

 

320,352

326,746

300,010

Other financial assets measured at amortized cost

 

22,563

21,015

21,181

20,065

37,815

32,781

30,743

29,401

 

22,563

37,815

27,115

Total financial assets measured at amortized cost

 

587,104

560,540

563,436

569,307

584,691

603,308

588,050

577,617

 

587,104

584,691

552,068

Financial assets at fair value held for trading

 

104,370

123,140

113,112

110,719

129,407

113,620

107,512

102,408

 

104,370

129,407

90,416

of which: assets pledged as collateral that may be sold or repledged by counterparties

 

32,121

37,723

36,904

36,226

36,277

34,508

34,053

30,287

 

32,121

36,277

29,731

Derivative financial instruments

 

126,210

116,417

122,679

118,878

121,285

123,357

127,033

121,314

 

126,210

121,285

155,642

Brokerage receivables

 

16,840

20,620

18,578

21,241

 

 

 

 

 

16,840

 

 

Financial assets at fair value not held for trading

 

82,690

88,853

94,040

102,304

60,457

52,393

53,964

49,019

 

82,690

60,457

64,210

Total financial assets measured at fair value through profit or loss

 

330,110

349,029

348,409

353,143

311,148

289,370

288,509

272,741

 

330,110

311,148

310,269

Financial assets measured at fair value through other comprehensive income

 

6,667

6,744

7,003

7,088

8,889

13,469

14,707

16,205

 

6,667

8,889

15,402

Investments in associates

 

1,099

1,000

1,035

1,088

1,045

1,019

1,013

975

 

1,099

1,045

947

Property, equipment and software

 

9,348

9,214

9,163

9,294

9,057

8,929

8,778

8,352

 

9,348

9,057

8,186

Goodwill and intangible assets

 

6,647

6,436

6,448

6,540

6,563

6,597

6,488

6,446

 

6,647

6,563

6,442

Deferred tax assets

 

10,105

9,818

9,934

10,117

10,056

13,002

13,045

13,114

 

10,105

10,056

13,158

Other non-financial assets

 

7,410

7,410

7,389

7,683

7,830

7,616

7,832

12,610

 

7,410

7,830

12,434

Total assets

 

958,489

950,192

952,817

964,260

939,279

943,310

928,422

908,058

 

958,489

939,279

918,906

 

 


 

Balance sheet (continued)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of or for the quarter ended

 

As of or for the year ended

USD million, except where indicated

 

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

Amounts due to banks

 

10,962

10,301

10,333

9,466

7,728

10,986

12,085

8,730

 

10,962

7,728

10,459

Payables from securities financing transactions

 

10,296

11,022

10,219

9,615

17,485

20,622

14,406

13,662

 

10,296

17,485

9,266

Cash collateral payables on derivative instruments

 

28,906

28,160

32,125

30,866

31,029

32,939

32,845

29,818

 

28,906

31,029

34,852

Customer deposits

 

419,838

408,924

406,995

418,108

419,577

414,810

421,294

418,544

 

419,838

419,577

416,267

Debt issued measured at amortized cost

 

132,271

136,537

138,745

144,630

143,160

137,850

126,842

114,503

 

132,271

143,160

101,837

Other financial liabilities measured at amortized cost

 

6,885

6,451

6,970

6,200

37,276

38,636

37,302

37,563

 

6,885

37,276

37,729

Total financial liabilities measured at amortized cost

 

609,158

601,395

605,387

618,885

656,255

655,844

644,773

622,820

 

609,158

656,255

610,410

Financial liabilities at fair value held for trading

 

28,943

32,639

31,694

36,447

31,251

31,619

26,384

28,521

 

28,943

31,251

22,425

Derivative financial instruments

 

125,723

115,711

120,276

117,423

119,137

119,222

124,029

119,732

 

125,723

119,137

151,121

Brokerage payables designated at fair value

 

38,420

38,995

38,239

36,496

 

 

 

 

 

38,420

 

 

Debt issued designated at fair value

 

57,031

62,803

57,352

54,606

50,782

51,158

49,945

50,542

 

57,031

50,782

49,057

Other financial liabilities designated at fair value

 

33,594

35,262

37,672

36,124

16,643

17,488

17,073

15,549

 

33,594

16,643

14,122

Total financial liabilities measured at fair value through profit or loss

 

283,711

285,409

285,233

281,096

217,813

219,488

217,431

214,344

 

283,711

217,813

236,725

Provisions

 

3,494

3,019

3,151

3,193

3,214

3,239

3,341

3,750

 

3,494

3,214

4,101

Other non-financial liabilities

 

9,022

8,237

7,776

7,359

9,443

8,817

8,082

12,699

 

9,022

9,443

14,083

Total liabilities

 

905,386

898,060

901,546

910,532

886,725

887,387

873,627

853,612

 

905,386

886,725

865,320

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity attributable to shareholders

 

52,928

52,094

51,210

53,662

52,495

55,156

54,072

53,769

 

52,928

52,495

52,916

Equity attributable to non-controlling interests

 

176

39

61

65

59

767

722

678

 

176

59

670

Total equity

 

53,103

52,132

51,271

53,727

52,554

55,923

54,795

54,446

 

53,103

52,554

53,586

Total liabilities and equity

 

958,489

950,192

952,817

964,260

939,279

943,310

928,422

908,058

 

958,489

939,279

918,906

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

Note 3  Net fee and commission income1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of or for the quarter ended

 

As of or for the year ended

USD million, except where indicated

 

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

Underwriting fees

 

177

210

185

239

199

244

281

278

 

811

1,003

739

of which: equity underwriting fees

 

118

98

89

127

106

154

153

161

 

431

573

356

of which: debt underwriting fees

 

59

113

96

112

94

90

129

117

 

380

429

383

M&A and corporate finance fees

 

122

261

180

206

165

181

175

178

 

768

698

742

Brokerage fees

 

822

786

886

1,026

923

903

971

1,023

 

3,521

3,820

3,802

Investment fund fees

 

1,228

1,221

1,226

1,279

1,095

1,090

1,074

1,063

 

4,954

4,322

4,265

Portfolio management and related services

 

1,937

1,949

1,922

1,949

2,011

1,959

1,901

1,795

 

7,756

7,666

7,069

Other

 

414

447

446

480

447

479

470

458

 

1,786

1,854

1,757

Total fee and commission income

 

4,700

4,875

4,845

5,178

4,840

4,855

4,872

4,795

 

19,598

19,362

18,374

of which: recurring

 

3,219

3,240

3,195

3,257

 

 

 

 

 

12,911

 

 

of which: transaction-based

 

1,448

1,616

1,628

1,903

 

 

 

 

 

6,594

 

 

of which: performance-based

 

33

19

22

18

 

 

 

 

 

93

 

 

Brokerage fees paid

 

88

63

76

90

157

167

183

166

 

316

673

769

Other

 

352

346

345

344

328

290

278

271

 

1,387

1,167

1,013

Total fee and commission expense

 

439

409

421

433

485

458

461

437

 

1,703

1,840

1,781

Net fee and commission income

 

4,261

4,466

4,423

4,744

4,355

4,397

4,411

4,358

 

17,895

17,522

16,593

of which: net brokerage fees

 

735

723

811

937

766

735

788

857

 

3,205

3,147

3,033

1 Upon adoption of IFRS 15, certain brokerage fees paid in an agency capacity have been reclassified from Fee and commission expense to Fee and commission income on a prospective basis from 1 January 2018, primarily relating to third-party execution costs for exchange traded derivative transactions and fees payable to third-party research providers on behalf of clients. In addition to the IFRS 15 changes, certain revenues, primarily distribution fees and fund management fees, have been reclassified between reporting lines to better reflect the nature of the revenues, with prior-period information restated accordingly. Also, certain expenses that are incremental and incidental to revenues have been reclassified prospectively from General and administrative expenses to Fee and commission expense to improve the alignment of transaction-based costs with the associated revenue stream, primarily impacting clearing costs, client loyalty costs, fund and custody expenses. As the effect of this reclassification was not material, prior-period information was not restated.

 

 


 

Note 4  Other income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of or for the quarter ended

 

As of or for the year ended

USD million, except where indicated

 

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

Associates, joint ventures and subsidiaries

 

 

 

 

 

 

 

 

 

 

 

 

 

Net gains / (losses) from acquisitions and disposals of subsidiaries1

 

(310)

20

(1)

 

43

4

(13)

(2)

 

(290)

32

(96)

Net gains / (losses) from disposals of investments in associates

 

46

 

 

 

 

 

 

 

 

46

 

 

Share of net profits of associates and joint ventures

 

481

17

15

16

19

21

17

19

 

529

76

109

Impairment charges related to associates

 

0

 

 

 

 

(7)

 

 

 

 

(7)

 

Total

 

217

37

14

16

62

18

4

17

 

284

101

12

Financial assets measured at fair value through other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

 

 

Net gains / (losses) from disposals

 

 

 

 

 

47

11

131

6

 

0

195

350

Impairments

 

 

 

 

 

(2)

 

1

(14)

 

0

(15)

(5)

Total

 

 

 

 

 

45

11

132

(8)

 

1

180

345

Net gains / (losses) from disposals of financial assets measured at amortized cost

 

0

 

(1)

 

(3)

2

(2)

17

 

0

14

(3)

Net income from properties (excluding net gains / (losses) from disposals)2

 

6

6

6

6

6

6

6

6

 

24

24

26

Net gains / (losses) from disposals of properties held for sale

 

9

31

 

 

 

 

 

 

 

40

 

128

Other

 

9

27

23

20

136

28

14

12

 

79

191

156

Total other income

 

241

101

43

42

247

65

154

45

 

427

511

663

1 Includes foreign exchange gains / losses reclassified from Other comprehensive income related to disposed foreign subsidiaries and branches.    2 Includes net rent received from third parties and net operating expenses.

 

 


 

Note 5  Personnel expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of or for the quarter ended

 

As of or for the year ended

USD million, except where indicated

 

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

Salaries and variable compensation

 

2,184

2,305

2,456

2,742

2,245

2,373

2,493

2,445

 

9,686

9,556

9,743

Financial advisor variable compensation1

 

999

1,016

1,007

1,032

1,046

1,012

1,019

988

 

4,054

4,064

3,740

Contractors

 

119

119

129

123

136

121

111

93

 

489

460

426

Social security

 

163

189

197

243

207

212

192

202

 

791

814

755

Pension and other post-employment benefit plans

 

172

149

170

(35)

173

177

174

200

 

457

723

678

Other personnel expenses

 

203

158

144

150

173

139

133

136

 

654

581

570

Total personnel expenses

 

3,839

3,936

4,102

4,254

3,980

4,033

4,121

4,065

 

16,132

16,199

15,913

1 Financial advisor variable compensation consists of formulaic compensation based directly on compensable revenues generated by financial advisors and supplemental compensation calculated on the basis of financial advisor productivity, firm tenure, new assets and other variables. It also includes expenses related to compensation commitments with financial advisors entered into at the time of recruitment that are subject to vesting requirements.  

 

 


 

Note 6  General and administrative expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of or for the quarter ended

 

As of or for the year ended

USD million, except where indicated

 

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

Occupancy

 

228

230

224

233

240

223

223

221

 

914

908

946

Rent and maintenance of IT and other equipment

 

187

158

150

159

151

137

139

144

 

654

570

517

Communication and market data services

 

163

158

156

161

157

157

152

155

 

638

622

634

Administration1

 

256

117

72

144

259

150

104

100

 

590

612

716

Marketing and public relations

 

114

82

85

85

140

91

96

92

 

366

419

473

Travel and entertainment

 

113

102

113

98

122

102

113

88

 

425

425

428

Professional fees

 

294

237

240

245

372

315

284

256

 

1,015

1,227

1,247

Outsourcing of IT and other services

 

368

348

351

361

435

407

372

384

 

1,427

1,597

1,656

Litigation, regulatory and similar matters2

 

533

2

132

(11)

185

205

10

33

 

657

434

805

Other

 

37

27

11

36

27

38

36

34

 

110

135

94

Total general and administrative expenses

 

2,293

1,462

1,533

1,510

2,088

1,825

1,528

1,508

 

6,797

6,949

7,517

1 Administration costs include net expenses / credits related to the UK and German bank levy.    2 Reflects the net increase in / (release of) provisions for litigation, regulatory and similar matters recognized in the income statement. In addition, it includes recoveries from third parties.  

 

 


 

Note 8  Earnings per share (EPS) and shares outstanding

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of or for the quarter ended

 

As of or for the year ended

USD million, except where indicated

 

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic earnings (USD million)

 

 

 

 

 

 

 

 

 

 

 

 

 

Net profit / (loss) attributable to shareholders

 

315

1,253

1,382

1,566

(2,417)

982

1,153

1,251

 

4,516

969

3,348

Diluted earnings (USD million)

 

 

 

 

 

 

 

 

 

 

 

 

 

Net profit / (loss) attributable to shareholders

 

315

1,253

1,382

1,566

(2,417)

982

1,153

1,251

 

4,516

969

3,348

Less: (profit) / loss on own equity derivative contracts

 

0

 

(1)

(1)

 

 

 

 

 

(2)

 

 

Net profit / (loss) attributable to shareholders for diluted EPS

 

315

1,253

1,381

1,565

(2,417)

982

1,153

1,251

 

4,514

969

3,348

Weighted average shares outstanding

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares outstanding for basic EPS1

 

3,712,860,295

3,729,382,991

3,750,246,679

3,728,701,542

3,719,192,967

3,717,418,510

3,715,138,875

3,712,946,691

 

3,730,297,877

3,716,174,261

3,719,764,322

Effect of dilutive potential shares resulting from notional shares, in-the-money options and warrants outstanding2

 

107,685,855

107,610,429

99,757,026

128,521,488

13

120,524,131

110,988,858

123,710,692

 

111,271,269

120,540,272

104,244,665

Weighted average shares outstanding for diluted EPS

 

3,820,546,150

3,836,993,420

3,850,003,705

3,857,223,030

3,719,192,980

3,837,942,641

3,826,127,733

3,836,657,383

 

3,841,569,146

3,836,714,533

3,824,008,987

Earnings per share (USD)

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

0.08

0.34

0.37

0.42

(0.65)

0.26

0.31

0.34

 

1.21

0.26

0.90

Diluted

 

0.08

0.33

0.36

0.41

(0.65)

0.26

0.30

0.33

 

1.18

0.25

0.88

Shares outstanding

 

 

 

 

 

 

 

 

 

 

 

 

 

Shares issued

 

3,855,634,749

3,855,121,120

3,854,589,552

3,854,297,125

3,853,096,603

3,852,361,272

3,851,805,058

3,851,255,128

 

 

 

 

Treasury shares

 

166,467,802

128,747,979

125,469,362

93,077,090

132,301,550

133,704,681

135,182,950

137,116,350

 

 

 

 

Shares outstanding

 

3,689,166,947

3,726,373,141

3,729,120,190

3,761,220,035

3,720,795,053

3,718,656,591

3,716,622,108

3,714,138,778

 

 

 

 

1 The weighted average shares outstanding for basic EPS are calculated by taking the number of shares at the beginning of the period, adjusted by the number of shares acquired or issued during the period, multiplied by a time-weighted factor for the period outstanding. As a result, balances are affected by the timing of acquisitions and issuances during the period.    2 Due to the net loss in the fourth quarter of 2017, a weighted average of 127,252,442 potential shares from unvested notional share awards and options outstanding were not included in the calculation of diluted EPS as they were anti-dilutive for the quarter ended 31 December 2017. Such shares are only taken into account for the diluted EPS calculation when their conversion to ordinary shares would decrease earnings per share or increase loss per share, in accordance with IAS 33, Earnings per Share.

 

 


 

Note 10b  Deferred day-1 profit or loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of or for the quarter ended

 

As of or for the year ended

USD million, except where indicated

 

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

Reserve balance at the beginning of the period

 

250

276

479

338

362

364

364

365

 

338

365

420

Profit / (loss) deferred on new transactions

 

48

43

53

197

51

79

66

51

 

341

247

257

(Profit) / loss recognized in the income statement

 

(41)

(68)

(252)

(56)

(77)

(82)

(67)

(53)

 

(417)

(279)

(293)

(Profit) / loss recognized in other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

 

(23)

Foreign currency translation

 

(2)

(1)

(4)

1

2

2

0

2

 

(6)

6

4

Reserve balance at the end of the period

 

255

250

276

479

338

362

364

364

 

255

338

365

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

Quarterly value-at-risk timeseries

 

 


 

Management value-at-risk (1-day, 95% confidence, 5 years of historical data) by business division and Corporate Center unit and general market risk type1

 

 

 

 

 

 

Average by risk type

 

 

 

 

 

Average by risk type

 

USD million

Min.

Max.

Period end

Average

Equity

Interest

rate

Credit

spreads

Foreign

exchange

Commod-

ities

 

Min.

Max.

Period end

Average

Equity

Interest

rate

Credit

spreads

Foreign

exchange

Commod-

ities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Global Wealth Management

0

1

1

1

0

1

1

0

0

 

1

1

1

1

0

1

1

0

0

 

Personal & Corporate Banking

0

0

0

0

0

0

0

0

0

 

0

0

0

0

0

0

0

0

0

 

Asset Management

0

0

0

0

0

0

0

0

0

 

0

0

0

0

0

0

0

0

0

 

Investment Bank

6

14

10

10

7

5

6

3

2

 

4

15

8

9

6

6

5

3

1

 

CC – Services

0

0

0

0

0

0

0

0

0

 

0

0

0

0

0

0

0

0

0

 

CC – Group ALM

3

6

6

4

0

4

1

1

0

 

3

6

4

4

0

4

1

1

0

 

CC – Non-core and Legacy Portfolio

2

2

2

2

1

1

1

0

0

 

2

2

2

2

1

1

1

0

0

 

Diversification effect 2,3

 

 

(7)

(6)

(1)

(4)

(3)

(1)

0

 

 

 

(6)

(6)

(1)

(5)

(3)

(1)

0

 

Total as of 31.12.18

7

15

12

11

7

7

6

3

2

Total as of 30.9.18

5

15

9

9

6

7

6

3

1

 

Total as of 30.9.18

5

15

9

9

6

7

6

3

1

Total as of 30.6.18

6

16

14

11

7

9

7

2

1

 

1 Statistics at individual levels may not be summed to deduce the corresponding aggregate figures. The minima and maxima for each level may occur on different days, and likewise, the VaR for each business line or risk type, being driven by the extreme loss tail of the corresponding distribution of simulated profits and losses for that business line or risk type, may well be driven by different days in the historical time series, rendering invalid the simple summation of figures to arrive at the aggregate total.    2 Difference between the sum of the standalone VaR for the business divisions and Corporate Center units and the VaR for the Group as a whole.    3 As the minimum and maximum occur on different days for different business divisions and Corporate Center units, it is not meaningful to calculate a portfolio diversification effect.

 
 
 
 
 

 

 


 

Management value-at-risk (1-day, 95% confidence, 5 years of historical data) by business division and Corporate Center unit and general market risk type (continued)1

 

 

 

 

 

Average by risk type

 

 

 

 

 

Average by risk type

USD million

Min.

Max.

Period end

Average

Equity

Interest

rate

Credit

spreads

Foreign

exchange

Commod-

ities

 

Min.

Max.

Period end

Average

Equity

Interest

rate

Credit

spreads

Foreign

exchange

Commod-

ities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Global Wealth Management

1

2

1

1

0

2

2

0

0

 

1

1

1

1

0

1

2

0

0

Personal & Corporate Banking

0

0

0

0

0

0

0

0

0

 

0

0

0

0

0

0

0

0

0

Asset Management

0

0

0

0

0

0

0

0

0

 

0

0

0

0

0

0

0

0

0

Investment Bank

5

14

14

10

7

7

6

2

1

 

7

25

12

16

12

7

7

3

2

CC – Services

0

0

0

0

0

0

0

0

0

 

0

0

0

0

0

0

0

0

0

CC – Group ALM

3

6

4

4

0

4

1

1

0

 

3

6

3

4

0

4

1

1

0

CC – Non-core and Legacy Portfolio

2

3

2

2

1

1

1

0

0

 

2

3

3

3

1

2

2

0

0

Diversification effect 2,3

 

 

(7)

(7)

(1)

(5)

(4)

(1)

0

 

 

 

(7)

(8)

(1)

(5)

(4)

(1)

0

Total as of 30.6.18

6

16

14

11

7

9

7

2

1

Total as of 31.3.18

8

26

12

16

13

9

7

3

2

Total as of 31.3.18

8

26

12

16

13

9

7

3

2

Total as of 31.12.17

7

18

10

11

6

9

6

3

1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

Yearly value-at-risk timeseries

 

 


 

Management value-at-risk (1-day, 95% confidence, 5 years of historical data) by business division and Corporate Center unit and general market risk type 1

 

For the year ended 31.12.18

For the year ended 31.12.17

USD million

 

 

 

 

Equity

Interest

rate

Credit

spreads

Foreign

exchange

Commod-

ities

 

 

 

 

Equity

Interest

rate

Credit

spreads

Foreign

exchange

Commod-

ities

 

Min.

 

 

 

3

5

5

1

1

Min.

 

 

 

1

6

5

1

0

 

 

Max.

 

 

22

11

9

13

4

 

Max.

 

 

15

12

8

5

7

 

 

 

Average

 

8

8

7

3

2

 

 

Average

 

6

10

6

3

2

 

 

 

 

31.12.18

5

7

5

6

2

 

 

 

31.12.17

5

9

8

3

2

Total management VaR, Group

5

26

12

12

Average (per business division and risk type)

5

19

11

10

Average (per business division and risk type)

Wealth Management

 

 

 

 

 

 

 

 

 

0

0

0

0

0

0

0

0

0

Wealth Management Americas

0

2

1

1

0

1

2

0

0

0

1

1

1

0

1

1

0

0

Personal & Corporate Banking

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

Asset Management

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

Investment Bank

4

25

11

10

8

6

6

3

2

4

18

9

8

6

7

5

2

2

CC – Services

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

CC – Group ALM

3

6

4

6

0

4

1

1

0

3

8

6

4

0

5

2

1

0

CC – Non-core and Legacy Portfolio

2

3

2

2

1

2

1

0

0

3

6

3

3

1

2

2

0

0

Diversification effect 2,3

 

 

(7)

(7)

(1)

(5)

(4)

(1)

0

 

 

(8)

(6)

(1)

(6)

(4)

(1)

0

1 Statistics at individual levels may not be summed to deduce the corresponding aggregate figures. The minima and maxima for each level may well occur on different days, and likewise the VaR for each business line or risk type, being driven by the extreme loss tail of the corresponding distribution of simulated profits and losses for that business line or risk type, may well be driven by different days in the historical time-series, rendering invalid the simple summation of figures to arrive at the aggregate total.    2 Difference between the sum of the standalone VaR for the business divisions and Corporate Center units and the VaR for the Group as a whole.     3 As the minimum and maximum occur on different days for different business divisions, it is not meaningful to calculate a portfolio diversification effect.                    

 

 


 

Management value-at-risk (1-day, 95% confidence, 5 years of historical data) by business division and Corporate Center unit and general market risk type (continued) 1

 

For the year ended 31.12.16

For the year ended 31.12.15

USD million

 

 

 

 

Equity

Interest

rate

Credit

spreads

Foreign

exchange

Commod-

ities

 

 

 

 

Equity

Interest

rate

Credit

spreads

Foreign

exchange

Commod-

ities

 

Min.

 

 

 

2

9

3

1

0

Min.

 

 

 

6

8

4

2

0

 

 

Max.

 

 

15

15

6

5

3

 

Max.

 

 

23

19

9

12

5

 

 

 

Average

 

5

11

4

3

1

 

 

Average

 

10

11

6

5

2

 

 

 

 

31.12.16

4

11

5

2

1

 

 

 

31.12.15

7

9

4

3

1

Total management VaR, Group

8

18

11

11

Average (per business division and risk type)

11

25

16

13

Average (per business division and risk type)

Wealth Management

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

Wealth Management Americas

0

1

0

1

0

1

1

0

0

0

1

0

0

0

1

1

0

0

Personal & Corporate Banking

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

Asset Management

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

Investment Bank

5

18

9

8

5

8

3

3

1

7

23

13

10

10

6

3

4

2

CC – Services

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

CC – Group ALM

5

9

7

6

0

7

1

1

0

4

17

8

6

0

8

0

1

0

CC – Non-core and Legacy Portfolio

4

5

4

4

0

4

2

1

0

5

9

6

5

0

4

5

1

0

Diversification effect 2,3

 

 

(10)

(8)

0

(9)

(3)

(1)

0

 

 

(12)

(9)

0

(9)

(4)

(1)

0

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

Invested assets and net new money

Invested assets

 

 

 

 

 

 

 

 

 

 

 

 

Results

As of

 

Year ended

USD billion

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

Global Wealth Management1

2,260

2,438

2,393

2,415

2,403

2,325

2,240

2,162

 

2,260

2,403

2,060

Asset Management

781

830

817

831

796

768

732

695

 

781

796

645

of which: excluding money market funds

696

748

738

748

719

692

663

626

 

696

719

580

of which: money market funds

85

82

79

83

78

76

70

69

 

85

78

65

1 Certain account types were corrected during the fourth quarter of 2017. Prior periods were corrected accordingly.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net new money1

 

 

 

 

 

 

 

 

 

 

 

 

Results

For the quarter ended

 

For the year ended

USD billion

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

Global Wealth Management

(7.9)

13.8

(1.2)

20.0

13.9

2.5

7.8

20.6

 

24.7

44.8

43.0

Asset Management

(2.1)

3.2

(2.1)

33.3

10.0

15.9

10.8

22.9

 

32.2

59.5

(16.2)

of which: excluding money market flows

(4.9)

0.5

1.0

28.2

10.0

8.8

10.3

19.6

 

24.8

48.7

(23.0)

of which: money market flows

2.8

2.7

(3.1)

5.1

0.0

7.1

0.5

3.2

 

7.5

10.8

6.8

1 Net new money excludes interest and dividend income.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

Business divisions time series

 

 


 

Global Wealth Management1

 

As of or for the quarter ended

 

Year ended

USD million, except where indicated

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

Results

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income

1,028

1,011

1,042

1,021

1,012

992

956

919

 

4,102

3,880

3,694

Recurring net fee income

2,374

2,411

2,373

2,419

2,314

2,300

2,220

2,129

 

9,577

8,964

8,467

Transaction-based income

627

649

740

953

746

754

839

897

 

2,970

3,236

2,956

Other income

112

19

9

11

16

24

14

11

 

151

65

57

Income

4,141

4,090

4,164

4,405

4,088

4,070

4,030

3,956

 

16,800

16,144

15,174

Credit loss (expense) / recovery2

(12)

(6)

(1)

3

(6)

(1)

(1)

(1)

 

(15)

(8)

(8)

Total operating income

4,129

4,084

4,164

4,409

4,083

4,069

4,029

3,955

 

16,785

16,136

15,166

Personnel expenses

1,882

1,903

1,925

1,973

1,926

1,938

1,930

1,881

 

7,683

7,674

7,254

Salaries and other personnel costs

883

887

918

941

880

926

912

892

 

3,628

3,610

3,514

Financial advisor variable compensation3,4

857

874

862

878

864

825

830

791

 

3,470

3,310

2,931

Compensation commitments with recruited financial advisors4,5

142

142

146

155

181

187

189

197

 

584

754

808

General and administrative expenses

816

298

305

304

366

310

312

275

 

1,724

1,263

1,221

Services (to) / from Corporate Center and other business divisions

1,088

1,008

959

1,015

1,081

954

944

947

 

4,070

3,926

3,958

of which: services from Corporate Center

1,050

976

929

981

1,050

927

914

913

 

3,936

3,803

3,832

Depreciation and impairment of property, equipment and software

2

1

1

1

1

1

1

1

 

4

4

4

Amortization and impairment of intangible assets

14

9

13

13

14

12

11

12

 

50

49

54

Total operating expenses

3,802

3,220

3,202

3,306

3,388

3,215

3,199

3,115

 

13,531

12,917

12,490

Business division operating profit / (loss) before tax

327

864

961

1,102

695

855

830

840

 

3,254

3,219

2,676

  

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted results6

 

 

 

 

 

 

 

 

 

 

 

 

Total operating income as reported

4,129

4,084

4,164

4,409

4,083

4,069

4,029

3,955

 

16,785

16,136

15,166

of which: gain on sale of financial assets at fair value through OCI7

 

 

 

 

 

 

 

 

 

 

 

31

of which: gain / (loss) on sale of subsidiaries and businesses

 

 

 

 

 

 

 

 

 

 

 

(24)

of which: gain related to investments in associates

101

 

 

 

 

 

 

 

 

101

 

 

Total operating income (adjusted)

4,028

4,084

4,164

4,409

4,083

4,069

4,029

3,955

 

16,684

16,136

15,159

Total operating expenses as reported

3,802

3,220

3,202

3,306

3,388

3,215

3,199

3,115

 

13,531

12,917

12,490

of which: personnel-related restructuring expenses8

17

11

3

3

10

13

14

2

 

34

39

61

of which: non-personnel-related restructuring expenses8

0

0

5

10

24

23

17

11

 

16

75

55

of which: restructuring expenses allocated from Corporate Center8

59

61

39

50

162

108

106

98

 

209

474

478

of which: gain related to changes to the Swiss pension plan

 

 

 

(66)

 

 

 

 

 

(66)

 

 

Total operating expenses (adjusted)

3,726

3,148

3,155

3,310

3,191

3,071

3,062

3,005

 

13,338

12,329

11,895

Business division operating profit / (loss) before tax as reported

327

864

961

1,102

695

855

830

840

 

3,254

3,219

2,676

Business division operating profit / (loss) before tax (adjusted)

302

936

1,009

1,099

891

999

967

950

 

3,346

3,807

3,263

 

 


 

Global Wealth Management (continued)1

 

 

 

 

 

 

 

 

 

 

 

 

 

As of or for the quarter ended

 

Year ended

USD million, except where indicated

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

Key performance indicators

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax profit growth (%)

(52.9)

1.1

15.8

31.3

17.1

17.0

26.1

21.1

 

1.1

20.3

(25.0)

Cost / income ratio (%)

91.8

78.7

76.9

75.1

82.9

79.0

79.4

78.7

 

80.5

80.0

82.3

Net new money growth (%)

(1.3)

2.3

(0.2)

3.3

2.4

0.4

1.4

4.0

 

1.0

2.2

2.2

Net margin on invested assets (bps)9

6

14

16

18

12

15

15

16

 

14

14

13

  

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted key performance indicators6

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax profit growth (%)

(66.1)

(6.2)

4.3

15.7

17.8

9.4

22.9

17.8

 

(12.1)

16.7

(14.6)

Cost / income ratio (%)

92.2

77.0

75.8

75.1

78.1

75.5

76.0

76.0

 

79.9

76.4

78.4

Net new money growth (%)

(1.3)

2.3

(0.2)

3.3

2.4

0.4

1.4

4.0

 

1.0

2.2

2.2

Net margin on invested assets (bps)10

5

16

17

18

15

18

18

18

 

14

17

16

 

 

 

 

 

 

 

 

 

 

 

 

 

Additional information

 

 

 

 

 

 

 

 

 

 

 

 

Recurring income11

3,402

3,422

3,415

3,441

3,335

3,297

3,180

3,051

 

13,679

12,862

12,168

Recurring income as a percentage of income (%)

82.2

83.7

82.0

78.1

81.6

81.0

78.9

77.1

 

81.4

79.7

80.2

Average attributed equity (USD billion)12

16.3

16.3

16.2

16.3

15.9

15.7

15.2

14.8

 

16.3

15.4

14.8

Return on attributed equity (%)12

8.0

21.2

23.7

27.1

17.4

21.7

21.8

22.7

 

20.0

20.9

18.1

Adjusted return on attributed equity (%)12

7.4

23.0

24.8

27.0

22.4

25.4

25.4

25.7

 

20.5

24.7

22.0

Return on attributed tangible equity (%)12

12.1

31.0

34.8

39.9

26.1

32.5

32.8

34.6

 

29.5

31.4

 

Risk-weighted assets (USD billion)12

74.3

75.1

75.2

76.8

73.2

72.4

72.6

67.7

 

74.3

73.2

64.4

Leverage ratio denominator (USD billion)12

315.8

310.8

309.4

307.5

302.5

299.4

291.2

279.8

 

315.8

302.5

273.3

Goodwill and intangible assets (USD billion)

5.2

5.0

5.0

5.1

5.1

5.1

5.0

5.0

 

5.2

5.1

5.0

Net new money (USD billion)

(7.9)

13.8

(1.2)

20.0

13.9

2.5

7.8

20.6

 

24.7

44.8

43.0

Invested assets (USD billion)13

2,260

2,438

2,393

2,415

2,403

2,325

2,240

2,162

 

2,260

2,403

2,060

Gross margin on invested assets (bps)

71

68

69

73

69

71

73

75

 

70

72

75

Adjusted gross margin on invested assets (bps)

69

68

69

73

69

71

73

75

 

70

72

75

Client assets (USD billion)

2,519

2,687

2,656

2,676

2,661

2,574

2,481

2,398

 

2,519

2,661

2,297

Loans, gross (USD billion)14

174.7

177.9

177.2

180.1

172.5

167.3

164.1

155.6

 

174.7

172.5

151.7

Due to customers (USD billion)14

271.8

268.4

270.8

277.0

278.0

272.1

274.5

278.7

 

271.8

278.0

278.1

Recruitment loans to financial advisors

2,296

2,350

2,405

2,490

2,619

2,681

2,754

2,946

 

2,296

2,619

3,033

Other loans to financial advisors

994

1,007

1,019

999

580

579

581

565

 

994

580

462

Personnel (full-time equivalents)

23,618

23,553

23,458

23,383

23,177

23,158

23,070

23,203

 

23,618

23,177

23,247

Advisors (full-time equivalents)

10,677

10,677

10,682

10,654

10,616

10,681

10,698

10,819

 

10,677

10,616

10,884

1 Comparative figures in this table have been restated for the change of the presentation currency from Swiss francs to US dollars with assets, liabilities and total equity translated to US dollars at closing exchange rates prevailing on the respective balance sheet dates, and income and expenses translated at the respective average rates prevailing for the relevant periods. Comparatives may additionally differ due to adjustments following organizational changes, restatements due to the retrospective adoption of new accounting standards or changes in accounting policies, and events after the reporting period.    2 Upon adoption of IFRS 9 effective 1 January 2018, credit loss expenses include credit losses on recruitment loans to financial advisors previously recognized in personnel expenses. Prior periods were not restated for this change.    3 Financial advisor variable compensation consists of formulaic compensation based directly on compensable revenues generated by financial advisors and supplemental compensation calculated on the basis of financial advisor productivity, firm tenure, new assets and other variables.    4 Relates to licensed professionals with the ability to provide investment advice to clients in the Americas.    5 Compensation commitments with recruited financial advisors represent expenses related to compensation commitments granted to financial advisors at the time of recruitment that are subject to vesting requirements.    6 Adjusted results are non-GAAP financial measures as defined by SEC regulations.    7 Includes a gain on the sale of our investment in Visa Europe.  Figures presented for periods prior to 2018 relate to financial assets available for sale. With the adoption of IFRS 9, certain financial assets were reclassified from available for sale under IAS 39 to measured at fair value through OCI under IFRS 9.    8 Reflects restructuring expenses related to legacy cost programs as well as expenses for new restructuring initiatives in 2018.    9 Calculated as operating profit before tax (annualized as applicable) / average invested assets.    10 Calculated as adjusted operating profit before tax (annualized as applicable) / average invested assets.    11 Recurring income consists of net interest income and recurring net fee income.    12 Refer to the “Capital management” section of our Annual report 2018 for more information.    13 Certain account types were corrected during the fourth quarter of 2017. Prior periods were corrected accordingly. The effect on net new money in all periods was immaterial.    14 Loans and Due to customers in this table include customer brokerage receivables and payables, respectively, which with the adoption of IFRS 9 effective 1 January 2018 have been reclassified to a separate reporting line on the balance sheet.

 

 


 

Regional breakdown of key figures1

 

 

 

 

 

 

 

 

 

 

 

 

USD billion, except where indicated

As of or for the quarter ended

 

Year ended

 

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

Americas

 

 

 

 

 

 

 

 

 

 

 

 

Net new money

(3.6)

(0.9)

(7.1)

7.5

(1.6)

(2.9)

(6.3)

2.3

 

(4.1)

(8.5)

8.2

Net new money growth (%)

(1.1)

(0.3)

(2.3)

2.4

(0.5)

(1.0)

(2.2)

0.8

 

(0.3)

(0.8)

0.8

Invested assets2

1,200

1,307

1,268

1,258

1,263

1,228

1,191

1,174

 

1,200

1,263

1,131

Loans, gross3

59.5

58.9

58.1

56.8

57.0

55.9

55.9

54.3

 

59.5

57.0

54.4

Advisors (full-time equivalents)

6,850

6,910

6,937

6,956

6,990

7,031

7,075

7,143

 

6,850

6,990

7,201

Asia Pacific

 

 

 

 

 

 

 

 

 

 

 

 

Net new money

0.1

8.6

2.2

6.3

10.2

2.9

9.9

5.8

 

17.3

28.8

21.2

Net new money growth (%)

0.1

8.8

2.2

6.6

11.5

3.5

12.7

8.1

 

4.5

10.1

7.8

Invested assets2

357

384

391

397

383

357

332

310

 

357

383

287

Loans, gross3

42.3

45.1

47.0

47.9

43.2

39.6

37.9

35.1

 

42.3

43.2

33.2

Advisors (full-time equivalents)

1,138

1,110

1,095

1,077

1,037

1,028

1,008

1,025

 

1,138

1,037

1,016

EMEA

 

 

 

 

 

 

 

 

 

 

 

 

Net new money

0.4

4.8

0.0

5.1

4.3

0.5

2.5

12.2

 

10.4

19.5

9.5

Net new money growth (%)

0.3

3.7

0.0

3.7

3.3

0.4

2.1

10.6

 

1.9

4.3

2.1

Invested assets2

500

524

523

547

545

531

515

489

 

500

545

462

Loans, gross3

37.5

38.2

37.2

39.3

37.4

37.0

36.2

33.9

 

37.5

37.4

32.9

Advisors (full-time equivalents)

1,837

1,802

1,792

1,764

1,748

1,780

1,767

1,796

 

1,837

1,748

1,822

Switzerland

 

 

 

 

 

 

 

 

 

 

 

 

Net new money

(4.5)

1.5

4.4

1.7

1.2

2.4

1.8

0.7

 

3.2

6.2

5.4

Net new money growth (%)

(8.2)

2.8

8.5

3.3

2.4

4.9

3.9

1.7

 

1.5

3.5

3.1

Invested assets2

200

219

208

208

209

206

200

185

 

200

209

176

Loans, gross3

35.0

35.1

34.1

35.3

34.1

34.2

33.6

31.7

 

35.0

34.1

30.6

Advisors (full-time equivalents)

737

734

731

731

728

722

724

732

 

737

728

729

1 Refer to the 'Measurement of performance' section of our Annual Report 2018 for the definitions of our key performance indicators.    2 Excluding minor functions with 116 advisors, USD 3 billion of invested assets, USD 0.5 billion of loans and USD 0.4 billion of net new money outflows in the fourth quarter of 2018.    3 Loans include customer brokerage receivables which with the adoption of IFRS 9 effective 1 January 2018 have been reclassified to a separate reporting line on the balance sheet.

 

 


 

Personal & Corporate Banking – in US dollars1

 

As of or for the quarter ended

 

Year ended

USD million, except where indicated

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

Results2

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income

517

515

501

516

511

520

517

496

 

2,049

2,044

2,203

Recurring net fee income

157

160

159

163

157

154

155

139

 

640

605

560

Transaction-based income

247

285

278

298

287

294

278

261

 

1,107

1,120

1,029

Other income

373

15

14

18

19

17

18

36

 

420

90

217

Income

1,295

976

952

994

974

985

968

932

 

4,217

3,859

4,008

Credit loss (expense) / recovery

(17)

(3)

(22)

(14)

4

(2)

(29)

7

 

(56)

(20)

(6)

Total operating income

1,278

972

930

981

977

983

939

939

 

4,161

3,839

4,002

Personnel expenses

185

207

223

188

190

218

231

213

 

803

852

855

General and administrative expenses

110

56

57

62

89

71

77

60

 

285

296

287

Services (to) / from Corporate Center and other business divisions 

335

309

300

320

332

296

290

285

 

1,263

1,203

1,213

of which: services from Corporate Center

361

330

326

351

364

325

314

317

 

1,367

1,321

1,340

Depreciation and impairment of property, equipment and software

4

3

3

3

4

3

3

3

 

14

13

15

Amortization and impairment of intangible assets

0

0

0

0

0

0

0

0

 

0

0

0

Total operating expenses

634

574

584

573

615

588

601

560

 

2,365

2,364

2,370

Business division operating profit / (loss) before tax

644

398

347

408

362

395

338

379

 

1,796

1,475

1,631

  

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted results2

 

 

 

 

 

 

 

 

 

 

 

 

Total operating income as reported

1,278

972

930

981

977

983

939

939

 

4,161

3,839

4,002

of which: gains related to investments in associates

359

 

 

 

 

 

 

 

 

359

 

21

of which: gain on sale of financial assets at fair value through OCI3

 

 

 

 

 

 

 

 

 

 

 

105

Total operating income (adjusted)

919

972

930

981

977

983

939

939

 

3,802

3,839

3,876

Total operating expenses as reported

634

574

584

573

615

588

601

560

 

2,365

2,364

2,370

of which: personnel-related restructuring expenses4

1

1

1

1

2

2

2

2

 

4

7

4

of which: non-personnel-related restructuring expenses4

0

0

0

0

0

0

0

0

 

0

0

0

of which: restructuring expenses allocated from Corporate Center4

17

8

9

9

35

24

22

17

 

43

98

115

of which: gain related to changes to the Swiss pension plan

 

 

 

(38)

 

 

 

 

 

(38)

 

 

Total operating expenses (adjusted)

616

565

574

600

579

562

577

541

 

2,355

2,259

2,252

Business division operating profit / (loss) before tax as reported

644

398

347

408

362

395

338

379

 

1,796

1,475

1,631

Business division operating profit / (loss) before tax (adjusted)

303

407

357

380

399

421

362

398

 

1,447

1,580

1,624

 

 


 

Personal & Corporate Banking – in US dollars (continued)1

 

As of or for the quarter ended

 

Year ended

USD million, except where indicated

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

Key performance indicators

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax profit growth (%)

77.6

0.7

2.5

7.6

17.4

(7.5)

(34.1)

(0.9)

 

21.8

(9.6)

(4.6)

Cost / income ratio (%)

49.0

58.9

61.3

57.6

63.2

59.7

62.1

60.1

 

56.1

61.3

59.1

Net interest margin (bps)

155

155

149

152

150

151

152

150

 

153

151

160

Net new business volume growth for Personal Banking (%)5

2.1

4.5

3.8

6.5

1.0

3.6

4.6

6.9

 

4.2

4.2

3.2

  

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted key performance indicators2

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax profit growth (%)

(24.0)

(3.4)

(1.5)

(4.5)

20.9

(5.9)

(17.8)

(2.0)

 

(8.4)

(2.7)

(7.0)

Cost / income ratio (%)

65.8

57.9

60.2

60.4

59.4

57.0

59.6

58.1

 

61.0

58.5

58.0

Net interest margin (bps)

155

155

149

152

150

151

152

150

 

153

151

160

Net new business volume growth for Personal banking (%)5

2.1

4.5

3.8

6.5

1.0

3.6

4.6

6.9

 

4.2

4.2

3.2

  

 

 

 

 

 

 

 

 

 

 

 

 

Additional information

 

 

 

 

 

 

 

 

 

 

 

 

Average attributed equity (USD billion)6

8.1

8.0

7.9

8.0

7.8

7.8

7.5

7.2

 

8.0

7.5

7.0

Return on attributed equity (%)6

31.8

19.9

17.6

20.4

18.6

20.2

18.1

21.2

 

22.5

19.5

23.4

Adjusted return on attributed equity (%)6

15.0

20.4

18.1

19.1

20.5

21.6

19.4

22.2

 

18.1

20.9

23.3

Return on attributed tangible equity (%)6

31.8

19.9

17.6

20.4

18.6

20.2

18.1

21.2

 

22.5

19.5

 

Risk-weighted assets (USD billion)6

63.9

61.4

59.8

59.3

56.6

56.1

56.2

50.9

 

63.9

56.6

47.2

Leverage ratio denominator (USD billion)6

213.7

211.3

210.6

215.7

209.7

214.1

212.6

205.8

 

213.7

209.7

202.7

Business volume for Personal banking (USD billion)

158

160

158

163

159

159

159

151

 

158

159

147

Net new business volume for Personal banking (USD billion)

0.9

1.8

1.5

2.6

0.4

1.4

1.7

2.5

 

6.7

6.1

4.7

Client assets (USD billion)7

648

678

664

684

684

684

678

647

 

648

684

619

Loans, gross (USD billion)

133.3

133.5

131.8

137.2

134.8

137.4

138.4

133.7

 

133.3

134.8

131.5

Due to customers (USD billion)

144.1

142.4

139.2

144.3

139.5

139.8

140.6

136.7

 

144.1

139.5

133.6

Secured loan portfolio as a percentage of total loan portfolio, gross (%)

92.0

92.2

92.1

92.2

92.7

92.3

92.6

92.5

 

92.0

92.7

92.9

Impaired loan portfolio as a percentage of total loan portfolio, gross (%)

1.3

1.2

1.2

1.2

0.6

0.5

0.5

0.5

 

1.3

0.6

0.6

Personnel (full-time equivalents)

5,183

5,200

5,141

5,160

5,102

5,117

5,072

5,132

 

5,183

5,102

5,143

1 Comparative figures in this table have been restated for the change of the presentation currency from Swiss francs to US dollars with assets, liabilities and total equity translated to US dollars at closing exchange rates prevailing on the respective balance sheet dates, and income and expenses translated at the respective average rates prevailing for the relevant periods. Comparatives may additionally differ due to adjustments following organizational changes, restatements due to the retrospective adoption of new accounting standards or changes in accounting policies, and events after the reporting period.    2 Adjusted results are non-GAAP financial measures as defined by SEC regulations.    3 Includes a gain on the sale of our investment in Visa Europe in 2016. Figures presented for periods prior to 2018 relate to financial assets available for sale. With the adoption of IFRS 9, certain financial assets were reclassified from available for sale under IAS 39 to measured at fair value through OCI under IFRS 9.    4 Reflects restructuring expenses related to legacy cost programs.    5 Calculated as net new business volume for the period / business volume at the beginning of the period.    6 Refer to the “Capital management” section of our Annual report 2018 for more information.   7 Client assets are comprised of invested assets and other assets held purely for transactional purposes or custody only. We do not measure net new money for Personal & Corporate Banking.

 

 


 

Personal & Corporate Banking – in Swiss francs1

 

As of or for the quarter ended

 

Year ended

CHF million, except where indicated

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

Results2

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income

515

505

496

487

504

502

503

496

 

2,003

2,005

2,176

Recurring net fee income

157

157

157

154

155

149

151

139

 

625

593

553

Transaction-based income

247

279

275

281

283

284

270

260

 

1,082

1,098

1,016

Other income

373

15

14

17

18

16

18

36

 

419

88

213

Income

1,292

956

942

938

960

950

943

931

 

4,128

3,784

3,957

Credit loss (expense) / recovery

(17)

(3)

(22)

(13)

4

(2)

(28)

7

 

(55)

(19)

(6)

Total operating income

1,275

953

920

925

964

949

915

938

 

4,074

3,765

3,951

Personnel expenses

185

203

221

178

188

211

225

213

 

786

836

845

General and administrative expenses

109

55

56

59

87

68

75

59

 

279

290

285

Services (to) / from Corporate Center and other business divisions 

334

303

297

301

327

285

283

285

 

1,234

1,180

1,199

of which: services from Corporate Center

360

323

322

331

359

314

306

317

 

1,336

1,296

1,324

Depreciation and impairment of property, equipment and software

4

3

3

3

4

3

3

3

 

14

13

15

Amortization and impairment of intangible assets

0

0

0

0

0

0

0

0

 

0

0

0

Total operating expenses

632

563

578

541

606

567

585

560

 

2,313

2,318

2,343

Business division operating profit / (loss) before tax

643

390

343

384

358

381

330

379

 

1,760

1,447

1,608

  

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted results2

 

 

 

 

 

 

 

 

 

 

 

 

Total operating income as reported

1,275

953

920

925

964

949

915

938

 

4,074

3,765

3,951

of which: gains related to investments in associates

359

 

 

 

 

 

 

 

 

359

 

21

of which: gain on sale of financial assets at fair value through OCI3

 

 

 

 

 

 

 

 

 

 

 

102

Total operating income (adjusted)

916

953

920

925

964

949

915

938

 

3,715

3,765

3,828

Total operating expenses as reported

632

563

578

541

606

567

585

560

 

2,313

2,318

2,343

of which: personnel-related restructuring expenses4

1

1

1

1

2

1

2

2

 

4

7

4

of which: non-personnel-related restructuring expenses4

0

0

0

0

0

0

0

0

 

0

0

0

of which: restructuring expenses allocated from Corporate Center4

17

8

9

9

34

24

21

17

 

42

96

113

of which: gain related to changes to the Swiss pension plan

 

 

 

(35)

 

 

 

 

 

(35)

 

 

Total operating expenses (adjusted)

614

554

568

566

570

542

562

541

 

2,302

2,215

2,226

Business division operating profit / (loss) before tax as reported

643

390

343

384

358

381

330

379

 

1,760

1,447

1,608

Business division operating profit / (loss) before tax (adjusted)

303

399

353

359

393

406

353

398

 

1,413

1,551

1,602

 

 


 

Personal & Corporate Banking – in Swiss francs (continued)1

 

As of or for the quarter ended

 

Year ended

CHF million, except where indicated

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

Key performance indicators

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax profit growth (%)

79.9

2.3

4.0

1.5

14.9

(8.3)

(34.2)

(0.5)

 

21.6

(10.0)

(2.3)

Cost / income ratio (%)

48.9

58.9

61.3

57.7

63.1

59.7

62.0

60.1

 

56.0

61.2

59.2

Net interest margin (bps)

157

154

152

148

152

151

151

148

 

153

151

161

Net new business volume growth for Personal Banking (%)5

2.2

4.5

3.9

6.3

1.0

3.7

4.5

6.7

 

4.2

4.0

3.1

  

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted key performance indicators2

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax profit growth (%)

(23.1)

(1.8)

0.0

(9.8)

18.5

(6.8)

(17.9)

(1.5)

 

(8.8)

(3.2)

(4.7)

Cost / income ratio (%)

65.8

57.9

60.3

60.4

59.4

57.0

59.6

58.1

 

61.1

58.5

58.1

Net interest margin (bps)

157

154

152

148

152

151

151

148

 

153

151

161

Net new business volume growth for Personal Banking (%)5

2.2

4.5

3.9

6.3

1.0

3.7

4.5

6.7

 

4.2

4.0

3.1

  

 

 

 

 

 

 

 

 

 

 

 

 

Additional information

 

 

 

 

 

 

 

 

 

 

 

 

Average attributed equity (CHF billion)6

8.1

7.8

7.8

7.5

7.7

7.5

7.4

7.1

 

7.8

7.4

6.9

Return on attributed equity (%)6

31.8

19.9

17.7

20.3

18.6

20.2

18.1

21.1

 

22.5

19.6

23.3

Adjusted return on attributed equity (%)6

15.0

20.3

18.2

19.0

20.5

21.6

19.4

22.2

 

18.1

21.0

23.2

Return on attributed tangible equity (%)6

31.8

19.9

17.7

20.3

18.6

20.2

18.0

21.1

 

22.5

19.6

 

Risk-weighted assets (CHF billion)6

62.8

60.2

59.2

56.5

55.1

54.4

53.9

51.0

 

62.8

55.1

48.1

Leverage ratio denominator (CHF billion)6

210.2

207.3

208.7

205.6

204.4

207.3

204.0

206.2

 

210.2

204.4

206.3

Business volume for Personal Banking (CHF billion)

156

157

156

156

155

154

153

152

 

156

155

149

Net new business volume for Personal Banking (CHF billion)

0.9

1.7

1.5

2.4

0.4

1.4

1.7

2.5

 

6.6

6.0

4.6

Client assets (CHF billion)7

638

665

658

652

667

663

651

648

 

638

667

630

Loans, gross (CHF billion)

131.0

131.0

130.6

130.8

131.4

133.1

132.8

133.9

 

131.0

131.4

133.9

Due to customers (CHF billion)

141.7

139.7

138.0

137.6

135.9

135.4

135.0

136.9

 

141.7

135.9

135.9

Secured loan portfolio as a percentage of total loan portfolio, gross (%)

92.0

92.2

92.1

92.2

92.7

92.3

92.6

92.5

 

92.0

92.7

92.9

Impaired loan portfolio as a percentage of total loan portfolio, gross (%)

1.3

1.2

1.2

1.2

0.6

0.5

0.5

0.5

 

1.3

0.6

0.6

Personnel (full-time equivalents)

5,183

5,200

5,141

5,160

5,102

5,117

5,072

5,132

 

5,183

5,102

5,143

1 Comparative figures in the timeseries may differ from those originally published in quarterly and annual reports due to adjustments following organizational changes, restatements due to the retrospective adoption of new accounting standards or changes in accounting policies, and events after the reporting period.    2 Adjusted results are non-GAAP financial measures as defined by SEC regulations.    3 Includes a gain on the sale of our investment in Visa Europe in 2016. Figures presented for periods prior to 2018 relate to financial assets available for sale. With the adoption of IFRS 9, certain financial assets were reclassified from available for sale under IAS 39 to measured at fair value through OCI under IFRS 9.    4 Reflects restructuring expenses related to legacy cost programs.    5 Calculated as net new business volume for the period / business volume at the beginning of the period.    6 Refer to the “Capital management” section of our Annual report 2018 for more information.    7 Client assets are comprised of invested assets and other assets held purely for transactional purposes or custody only. We do not measure net new money for Personal & Corporate Banking.

 

 


 

Asset Management1

 

As of or for the quarter ended

 

Year ended

USD million, except where indicated

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

Results

 

 

 

 

 

 

 

 

 

 

 

 

Net management fees2

440

440

442

451

447

471

453

423

 

1,772

1,794

1,843

Performance fees

28

17

19

15

27

39

37

26

 

80

130

124

Gain / (loss) on sale of subsidiaries and businesses

 

 

 

 

153

 

 

 

 

 

153

 

Total operating income

468

457

461

466

628

510

490

449

 

1,852

2,077

1,967

Personnel expenses

166

169

191

177

177

192

201

162

 

703

731

736

General and administrative expenses

57

45

49

52

71

54

53

57

 

202

235

244

Services (to) / from Corporate Center and other business divisions

139

124

124

131

146

136

125

135

 

518

543

549

of which: services from Corporate Center

150

135

135

143

155

146

137

144

 

563

582

574

Depreciation and impairment of property, equipment and software

0

0

1

0

0

0

0

0

 

2

1

1

Amortization and impairment of intangible assets

0

0

0

0

0

1

1

1

 

1

3

5

Total operating expenses

362

339

365

360

395

383

381

355

 

1,426

1,514

1,535

Business division operating profit / (loss) before tax

106

118

97

105

233

127

109

94

 

426

563

432

  

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted results3

 

 

 

 

 

 

 

 

 

 

 

 

Total operating income as reported

468

457

461

466

628

510

490

449

 

1,852

2,077

1,967

of which: gain / (loss) on sale of subsidiaries and businesses

 

 

 

 

153

 

 

 

 

 

153

 

Total operating income (adjusted)

468

457

461

466

474

510

490

449

 

1,852

1,924

1,967

Total operating expenses as reported

362

339

365

360

395

383

381

355

 

1,426

1,514

1,535

of which: personnel-related restructuring expenses4

5

2

15

1

5

7

3

2

 

23

17

15

of which: non-personnel-related restructuring expenses4

3

1

3

3

6

5

6

5

 

10

22

15

of which: restructuring expenses allocated from Corporate Center4

13

6

8

7

20

16

15

13

 

33

63

72

of which: gain related to changes to the Swiss pension plan

 

 

 

(10)

 

 

 

 

 

(10)

 

 

Total operating expenses (adjusted)

342

330

339

359

364

356

357

335

 

1,370

1,412

1,433

Business division operating profit / (loss) before tax as reported

106

118

97

105

233

127

109

94

 

426

563

432

Business division operating profit / (loss) before tax (adjusted)

126

127

122

107

110

154

133

114

 

482

512

533

  

 

 

 

 

 

 

 

 

 

 

 

 

Key performance indicators

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax profit growth (%)

(54.5)

(7.2)

(11.3)

12.1

66.8

28.4

2.9

7.4

 

(24.3)

30.3

(28.5)

Cost / income ratio (%)

77.4

74.2

79.1

77.4

62.9

75.0

77.8

79.1

 

77.0

72.9

78.0

Net new money growth excluding money market flows (%)

(2.6)

0.3

0.5

15.7

5.8

5.3

6.6

13.5

 

3.4

8.4

(3.9)

Net margin on invested assets (bps)5

5

6

5

5

12

7

6

6

 

5

8

7

  

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted key performance indicators3

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax profit growth (%)6

14.4

(12.3)

(2.3)

0.5

(22.5)

15.8

(4.8)

8.2

 

(0.8)

(2.1)

(13.1)

Cost / income ratio (%)

73.0

72.3

73.5

77.1

76.7

69.7

72.9

74.6

 

74.0

73.4

72.9

Net new money growth excluding money market flows (%)

(2.6)

0.3

0.5

15.7

5.8

5.3

6.6

13.5

 

3.4

8.4

(3.9)

Net margin on invested assets (bps)7

6

6

6

5

6

8

7

7

 

6

7

8

 

 


 

Asset Management (continued)1

 

As of or for the quarter ended

 

Year ended

USD million, except where indicated

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

Information by business line / asset class

 

 

 

 

 

 

 

 

 

 

 

 

Net new money (USD billion)

 

 

 

 

 

 

 

 

 

 

 

 

Equities

(6.5)

(4.5)

3.3

28.4

2.0

2.7

4.0

10.0

 

20.7

18.7

(10.1)

Fixed Income

6.7

7.5

(9.8)

3.9

3.8

12.5

2.7

9.6

 

8.3

28.6

(3.4)

of which: money market

2.8

2.7

(3.1)

5.1

0.0

7.1

0.5

3.2

 

7.5

10.8

6.8

Multi Assets & Solutions

(1.1)

(0.4)

2.0

1.4

1.2

(0.4)

2.6

1.6

 

1.9

4.9

(4.3)

Hedge Fund Businesses

(0.4)

(0.4)

1.9

(0.7)

(0.1)

0.9

0.8

0.7

 

0.4

2.2

(0.3)

Real Estate & Private Markets

(0.8)

1.0

0.5

0.3

3.1

0.2

0.7

1.1

 

1.0

5.1

1.8

Total net new money

(2.1)

3.2

(2.1)

33.3

10.0

15.9

10.8

22.9

 

32.2

59.5

(16.2)

  

 

 

 

 

 

 

 

 

 

 

 

 

Invested assets (USD billion)

 

 

 

 

 

 

 

 

 

 

 

 

Equities

285

330

328

327

300

281

265

241

 

285

300

216

Fixed Income

253

245

237

252

248

240

226

220

 

253

248

206

of which: money market

85

82

79

83

78

76

70

69

 

85

78

65

Multi Assets & Solutions

120

130

129

130

130

132

129

126

 

120

130

119

Hedge Fund Businesses

42

44

44

43

42

42

41

40

 

42

42

38

Real Estate & Private Markets

81

81

79

79

76

72

70

68

 

81

76

66

Total invested assets

781

830

817

831

796

768

732

695

 

781

796

645

of which: passive strategies

298

318

318

320

293

274

258

236

 

298

293

203

  

 

 

 

 

 

 

 

 

 

 

 

 

Information by region

 

 

 

 

 

 

 

 

 

 

 

 

Invested assets (USD billion)

 

 

 

 

 

 

 

 

 

 

 

 

Americas

192

197

188

188

187

182

171

164

 

192

187

157

Asia Pacific

141

153

161

166

163

157

150

149

 

141

163

127

Europe, Middle East and Africa

189

209

202

204

178

172

162

146

 

189

178

141

Switzerland

259

271

267

272

268

256

249

237

 

259

268

221

Total invested assets

781

830

817

831

796

768

732

695

 

781

796

645

  

 

 

 

 

 

 

 

 

 

 

 

 

Information by channel

 

 

 

 

 

 

 

 

 

 

 

 

Invested assets (USD billion)

 

 

 

 

 

 

 

 

 

 

 

 

Third-party institutional

484

523

515

526

498

476

454

430

 

484

498

388

Third-party wholesale

78

84

83

85

82

80

78

74

 

78

82

74

UBS’s wealth management businesses

219

223

220

220

216

211

200

192

 

219

216

183

Total invested assets

781

830

817

831

796

768

732

695

 

781

796

645

 

 


 

Asset Management (continued)1

 

As of or for the quarter ended

 

Year ended

USD million, except where indicated

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

Assets under administration8

 

 

 

 

 

 

 

 

 

 

 

 

Assets under administration (USD billion)9

 

 

 

 

 

544

460

438

 

 

 

413

Net new assets under administration (USD billion)10

 

 

 

 

 

72.7

(0.9)

8.4

 

 

 

0.6

Gross margin on assets under administration (bps)

 

 

 

 

 

3

3

3

 

 

 

3

  

 

 

 

 

 

 

 

 

 

 

 

 

Additional information

 

 

 

 

 

 

 

 

 

 

 

 

Average attributed equity (USD billion)11

1.8

1.8

1.8

1.8

1.8

1.8

1.8

1.8

 

1.8

1.8

1.8

Return on attributed equity (%)11

23.7

26.2

21.3

22.9

50.4

27.5

24.0

21.0

 

23.5

30.8

23.9

Adjusted return on attributed equity (%)11

28.2

28.1

26.9

23.2

23.9

33.4

29.3

25.5

 

26.6

28.0

29.5

Return on attributed tangible equity (%)11

99.1

109.3

88.6

97.2

220.2

120.1

106.7

94.5

 

98.5

136.1

 

Risk-weighted assets (USD billion)11

4.3

4.3

4.4

4.5

4.3

4.4

4.4

4.3

 

4.3

4.3

4.0

Leverage ratio denominator (USD billion)11

5.0

4.7

4.8

5.0

4.7

4.7

4.5

4.5

 

5.0

4.7

4.4

Goodwill and intangible assets (USD billion)

1.4

1.4

1.4

1.4

1.4

1.4

1.4

1.4

 

1.4

1.4

1.4

Gross margin on invested assets (bps)

23

22

22

23

32

27

27

27

 

23

28

30

Adjusted gross margin on invested assets (bps)

23

22

22

23

24

27

27

27

 

23

26

30

Personnel (full-time equivalents)

2,301

2,321

2,329

2,361

2,335

2,354

2,300

2,306

 

2,301

2,335

2,308

1 Comparative figures in this table have been restated for the change of the presentation currency from Swiss francs to US dollars with assets, liabilities and total equity translated to US dollars at closing exchange rates prevailing on the respective balance sheet dates, and income and expenses translated at the respective average rates prevailing for the relevant periods. Comparatives may additionally differ due to adjustments following organizational changes, restatements due to the retrospective adoption of new accounting standards or changes in accounting policies, and events after the reporting period.    2 Net management fees include transaction fees, fund administration revenues (including net interest and trading income from lending activities and foreign exchange hedging as part of the fund services offering), gains or losses from seed money and co-investments, funding costs, and other items that are not performance fees. Beginning 1 January 2018, net management fees additionally include fund and custody expenses recognized as contra revenues and previously included in operating expenses. Prior periods were not restated for this change.    3 Adjusted results are non-GAAP financial measures as defined by SEC regulations.    4 Reflects restructuring expenses related to legacy cost programs as well as expenses for new restructuring initiatives in 2018.    5 Calculated as operating profit before tax (annualized as applicable) / average invested assets.    6 Excluding the effect of business exits. Prior-period information for periods ending  before 1 January 2018 has been restated for this change.    7 Calculated as adjusted operating profit before tax (annualized as applicable) / average invested assets.    8 Following the sale of our fund administration business in Luxembourg and Switzerland to Northern Trust on 1 October 2017, we no longer report assets under administration.    9 This includes UBS and third-party fund assets for which the fund services unit provided professional services, including fund set-up, accounting and reporting for traditional investment funds and alternative funds.    10 Inflows of assets under administration from new and existing funds less outflows from existing funds or fund exits.    11 Refer to the “Capital management” section of our Annual report 2018 for more information.   

 

 


 

Investment Bank1

 

As of or for the quarter ended

 

Year ended

USD million, except where indicated

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

Results

 

 

 

 

 

 

 

 

 

 

 

 

Corporate Client Solutions

460

657

629

875

649

743

750

718

 

2,621

2,860

2,404

Advisory

115

236

168

197

145

169

169

166

 

717

650

699

Equity Capital Markets

122

161

190

312

232

293

298

252

 

785

1,075

679

Debt Capital Markets

160

183

164

262

190

213

184

210

 

769

797

751

Financing Solutions

53

74

79

72

68

57

92

93

 

278

310

363

Risk Management

11

3

27

31

13

12

7

(4)

 

72

29

(88)

Investor Client Services

1,078

1,285

1,539

1,556

1,145

1,080

1,290

1,366

 

5,458

4,882

5,273

Equities

776

899

1,036

1,138

884

786

923

925

 

3,850

3,518

3,465

Foreign Exchange, Rates and Credit

302

386

503

417

261

294

367

441

 

1,609

1,363

1,807

Income

1,539

1,942

2,167

2,430

1,794

1,824

2,040

2,084

 

8,079

7,742

7,677

Credit loss (expense) / recovery

(18)

1

(6)

(16)

(81)

2

(7)

(6)

 

(38)

(92)

(11)

Total operating income

1,521

1,944

2,162

2,415

1,713

1,826

2,033

2,078

 

8,041

7,650

7,665

Personnel expenses

537

673

779

952

658

735

794

819

 

2,941

3,006

3,122

General and administrative expenses

253

101

145

152

269

146

130

130

 

651

675

812

Services (to) / from Corporate Center and other business divisions 

805

709

698

730

781

700

687

692

 

2,942

2,860

2,871

of which: services from Corporate Center

803

709

693

719

769

692

675

680

 

2,923

2,816

2,833

Depreciation and impairment of property, equipment and software

2

2

2

2

3

3

2

3

 

8

10

22

Amortization and impairment of intangible assets

2

5

2

3

2

3

3

3

 

12

12

12

Total operating expenses

1,598

1,490

1,627

1,838

1,714

1,587

1,615

1,647

 

6,554

6,563

6,839

Business division operating profit / (loss) before tax

(78)

453

535

576

0

239

418

431

 

1,486

1,087

826

  

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted results2

 

 

 

 

 

 

 

 

 

 

 

 

Total operating income as reported

1,521

1,944

2,162

2,415

1,713

1,826

2,033

2,078

 

8,041

7,650

7,665

of which: gains on sale of financial assets at fair value through OCI3

 

 

 

 

29

 

108

 

 

 

137

77

Total operating income (adjusted)

 

 

 

 

1,684

1,826

1,926

2,078

 

8,041

7,513

7,589

Total operating expenses as reported

1,598

1,490

1,627

1,838

1,714

1,587

1,615

1,647

 

6,554

6,563

6,839

of which: personnel-related restructuring expenses4

1

1

2

12

12

4

4

18

 

16

39

156

of which: non-personnel-related restructuring expenses4

3

3

3

2

6

7

3

2

 

11

18

14

of which: restructuring expenses allocated from Corporate Center4

69

32

32

34

108

76

69

57

 

166

310

416

of which: gain related to the Swiss pension plan

 

 

 

(5)

 

 

 

 

 

(5)

 

 

of which: expenses from modification of terms for certain DCCP awards5

 

 

 

 

26

 

 

 

 

 

26

 

Total operating expenses (adjusted)

1,526

1,455

1,591

1,796

1,563

1,501

1,539

1,569

 

6,367

6,171

6,252

Business division operating profit / (loss) before tax as reported

(78)

453

535

576

0

239

418

431

 

1,486

1,087

826

Business division operating profit / (loss) before tax (adjusted)

(5)

489

571

619

122

325

387

508

 

1,674

1,342

1,336

 

 


 

Investment Bank (continued)1

 

As of or for the quarter ended

 

Year ended

USD million, except where indicated

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

Key performance indicators

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax profit growth (%)

 

89.7

27.9

33.8

 

108.8

63.7

95.5

 

36.7

31.5

(58.5)

Cost / income ratio (%)

103.9

76.7

75.1

75.6

95.5

87.0

79.2

79.0

 

81.1

84.8

89.1

Return on attributed equity (%)6

(2.5)

14.2

16.0

17.6

0.0

7.8

14.2

15.2

 

11.5

9.1

6.9

  

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted key performance indicators2

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax profit growth (%)

 

50.3

47.6

21.7

(55.7)

8.3

(8.4)

50.0

 

24.7

0.4

(44.3)

Cost / income ratio (%)

99.1

74.9

73.4

73.9

88.5

82.3

79.6

75.3

 

78.8

81.1

82.3

Return on attributed equity (%)6

(0.2)

15.3

17.1

18.9

3.9

10.7

13.2

17.9

 

12.9

11.2

11.2

  

 

 

 

 

 

 

 

 

 

 

 

 

Additional information

 

 

 

 

 

 

 

 

 

 

 

 

Average attributed equity (USD billion)6

12.7

12.8

13.4

13.1

12.5

12.2

11.8

11.3

 

13.0

12.0

11.9

Return on attributed tangible equity (%)6

(2.4)

14.4

16.2

17.7

0.1

8.0

14.4

15.4

 

11.6

9.2

 

Risk-weighted assets (USD billion)6

93.2

87.6

87.4

95.8

81.0

83.1

83.1

70.3

 

93.2

81.0

73.6

Return on risk-weighted assets, gross (%)

6.8

8.9

9.5

11.0

8.7

8.8

10.6

11.6

 

9.0

9.9

10.7

Leverage ratio denominator (USD billion)6

283.4

315.7

314.1

313.5

312.0

310.6

301.9

301.5

 

283.4

312.0

288.7

Return on leverage ratio denominator, gross (%)

2.1

2.5

2.8

3.1

2.3

2.4

2.7

2.8

 

2.6

2.6

2.3

Goodwill and intangible assets (USD billion)

0.1

0.0

0.1

0.1

0.1

0.1

0.1

0.1

 

0.1

0.1

0.1

Compensation ratio (%)

34.9

34.7

35.9

39.2

36.7

40.3

38.9

39.3

 

36.4

38.8

40.7

Average VaR (1-day, 95% confidence, 5 years of historical data)

10

9

10

16

10

10

10

8

 

11

10

9

Impaired loan portfolio as a percentage of total loan portfolio, gross (%)

1.5

1.1

1.2

1.0

1.0

1.0

1.0

0.9

 

1.5

1.0

0.9

Personnel (full-time equivalents)

5,205

4,957

4,778

4,867

4,822

4,829

4,748

4,851

 

5,205

4,822

4,734

1 Comparative figures in this table have been restated for the change of the presentation currency from Swiss francs to US dollars with assets, liabilities and total equity translated to US dollars at closing exchange rates prevailing on the respective balance sheet dates, and income and expenses translated at the respective average rates prevailing for the relevant periods. Comparatives may additionally differ due to adjustments following organizational changes, restatements due to the retrospective adoption of new accounting standards or changes in accounting policies, and events after the reporting period.    2 Adjusted results are non-GAAP financial measures as defined by SEC regulations.    3 Reflects gains on sales of our investment in IHS Markit in 2017, 2016, and 2015 as well as a gain on the sale of our investment in London Clearing House in the fourth quarter of 2017. Figures presented for periods prior to the first quarter of 2018 relate to financial assets available for sale. With the adoption of IFRS 9, certain financial assets were reclassified from available for sale under IAS 39 to measured at fair value through OCI under IFRS 9.    4 Reflects restructuring expenses related to legacy cost programs.    5 Relates to the removal of the service period requirement for DCCP awards granted for the performance years 2012 and 2013.    6 Refer to the “Capital management” section of our Annual report 2018 for more information.   

 

 


 

Corporate Center1

 

As of or for the quarter ended

 

Year ended

USD million, except where indicated

31.12.18

30.9.18

30.6.18

31.3.18

31.12.17

30.9.17

30.6.17

31.3.17

 

31.12.18

31.12.17

31.12.16

 

 

 

 

 

 

 

 

 

 

 

 

 

Results

 

 

 

 

 

 

 

 

 

 

 

 

Total operating income

(423)

(29)

(73)

(101)

(194)

15

(22)

122

 

(626)

(80)

(71)

Personnel expenses

1,069

984

984

965

1,029

951

966

990

 

4,002

3,935

3,946

General and administrative expenses

1,058

962

976

940

1,293

1,243

956

987

 

3,935

4,479

4,953

Depreciation and impairment of property, equipment and software

334

304

280

281

268

258

249

249

 

1,199

1,024

955

Amortization and impairment of intangible assets

0

0

0

0

0

0

1

5

 

2

7

21

Total operating expenses before allocations to BDs

2,461

2,250

2,241

2,186

2,590

2,452

2,172

2,230

 

9,139

9,445

9,876

Services (to) / from business divisions

(2,367)

(2,150)

(2,081)

(2,195)

(2,340)

(2,086)

(2,047)

(2,059)

 

(8,793)

(8,532)

(8,591)

of which: services to Global Wealth Management

(1,050)

(976)

(929)

(981)

(1,050)

(927)

(914)

(913)

 

(3,936)

(3,803)

(3,832)

of which: services to Personal & Corporate Banking

(361)

(330)

(326)

(351)

(364)

(325)

(314)

(317)

 

(1,367)

(1,321)

(1,340)

of which: services to Asset Management

(150)

(135)

(135)

(143)

(155)

(146)

(137)

(144)

 

(563)

(582)

(574)

of which: services to Investment Bank

(820)

(727)

(710)

(738)

(788)

(710)

(695)

(701)

 

(2,995)

(2,894)

(2,916)

Total operating expenses

95

100

160

(9)

250

367

125

171

 

346

913

1,285

Operating profit / (loss) before tax

(518)

(128)

(233)

(92)

(444)

(352)

(147)

(49)

 

(971)

(993)

(1,356)

  

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted results2

 

 

 

 

 

 

 

 

 

 

 

 

Total operating income as reported

(423)

(29)

(73)

(101)

(194)

15

(22)

122

 

(626)

(80)

(71)

of which: gains on sale of real estate

 

31

 

 

 

 

 

 

 

31

 

123

of which: gain / (loss) on sale of subsidiaries and businesses

 

25

 

 

 

 

 

 

 

25

 

 

of which: remeasurement loss related to UBS Securities China

(270)

 

 

 

 

 

 

 

 

(270)

 

 

of which: net foreign currency translation gains / (losses)3

 

 

 

 

 

 

(16)

 

 

 

(16)

(84)

Total operating income (adjusted)

(154)

(85)

(73)

(101)

(194)

15

(6)

122

 

(413)

(63)

(110)

Total operating expenses as reported

95

100

160

(9)

250

367

125

171

 

346

913

1,285

of which: personnel-related restructuring expenses4

70

44

43

50

134

120

97

93

 

208

443

527

of which: non-personnel-related restructuring expenses4

87

59

40

53

188

116

119

110

 

238

532

631

of which: restructuring expenses allocated from Corporate Center4

(157)

(106)

(88)

(99)

(324)

(224)

(212)

(185)

 

(450)

(945)

(1,081)

of which: gain related to changes to the Swiss pension plan

 

 

 

(122)

 

 

 

 

 

(122)

 

 

Total operating expenses (adjusted)

95

103

165

109

252

355

122

154

 

472

883

1,208

Operating profit / (loss) before tax as reported

(518)

(128)

(233)

(92)

(444)

(352)

(147)

(49)

 

(971)

(993)

(1,356)

Operating profit / (loss) before tax (adjusted)

(248)

(188)

(238)

(211)

(446)

(340)

(128)

(32)

 

(885)

(946)

(1,318)

  

 

 

 

 

 

 

 

 

 

 

 

 

Additional information

 

 

 

 

 

 

 

 

 

 

 

 

Average attributed equity (USD billion)5

13.6

12.8

13.1

13.9

15.7

17.0

17.7

18.2

 

13.3

17.2

19.5

Risk-weighted assets (USD billion)5

28.1

28.7

27.8

29.7

28.6

29.7

30.4

28.2

 

28.1

28.6

29.5

Leverage ratio denominator (USD billion)5

86.5

72.6

71.5

84.0

80.2

85.0

86.9

87.8

 

86.5

80.2

86.2

Personnel (full-time equivalents)

30,581

29,526

27,978

26,766

25,817

25,339

24,280

23,922

 

30,581

25,817

23,955

1 Comparative figures in this table have been restated for the change of the presentation currency from Swiss francs to US dollars with assets, liabilities and total equity translated to US dollars at closing exchange rates prevailing on the respective balance sheet dates, and income and expenses translated at the respective average rates prevailing for the relevant periods. Comparatives may additionally differ due to adjustments following organizational changes, restatements due to the retrospective adoption of new accounting standards or changes in accounting policies, and events after the reporting period.    2 Adjusted results are non-GAAP financial measures as defined by SEC regulations.    3 Related to the disposal of foreign subsidiaries and branches.    4 Reflects restructuring expenses related to legacy cost programs.    5 Refer to the “Capital management” section of our Annual report 2018 for more information.   

 


 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrants have duly caused this report to be signed on their behalf by the undersigned, thereunto duly authorized.

 

 

UBS Group AG

 

 

 

By: _/s/ David Kelly_____________

Name:  David Kelly

Title:     Managing Director

 

 

 

By: _/s/ Ella Campi _____________

Name:  Ella Campi

      Title:    Executive Director

 

 

UBS AG

 

 

 

By: _/s/ David Kelly_____________

Name:  David Kelly

Title:     Managing Director

 

 

 

By: _/s/ Ella Campi _____________

Name:  Ella Campi

      Title:    Executive Director

 

 

 

 

Date:  March 18, 2019