Here’s what UBS’ bosses are saying about a big shakeup at its $2.3 trillion money management unit

FILE PHOTO: The offices of Swiss bank UBS are seen in the financial district of the City of London

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FILE PHOTO: The offices of Swiss bank UBS are seen in the financial district of the City of London
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Thomson Reuters

  • UBS, the Switzerland-based money manager, announced Monday the integration of its two wealth management arms.
  • According to a memo obtained by Business Insider, the shakeup includes a number of role shifts.
  • The combined business, according to the memo, will oversee about $2.3 trillion in investable assets.

UBS, the Switzerland-based money manager, announced Monday it would merge its two wealth management arms into one global business that will oversee more than $2 trillion in assets.

According to a memo obtained by Business Insider, the shakeup at the bank also includes a number of key role shifts.

Tom Naratil, the former president of Wealth Management Americas, is now serving as co-president of the global wealth management business alongside Martin Blessing. The two UBS veterans coauthored the memo. Blessing was named head of the global wealth management business after Juerg Zeltner left the company last year.

“The strong performance of our wealth management businesses lays the foundation for this new chapter,” Naratil and Blessing write in the memo. “Our outstanding franchise across the Americas, Asia Pacific (APAC), Europe Middle East Africa (EMEA), Switzerland (CH) and the Ultra High Net Worth (UHNW) segment sets us apart from the competition, drives UBS’s profitability, and provides us with unique global scale.”

The move – which goes into effect on Feb. 1 – marks the final step of an ongoing evolution and integration of its two wealth management businesses, according to a person familiar with the matter. It is a process that has been in the works for nearly two years. The combined business, according to the memo, will oversee about $2.3 trillion in investable assets.

Christine Novakovic, previously head of corporate and institutional clients for P&C and Region Switzerland, is set to head wealth management operations in Europe, the Middle East, and Africa regions. Paul Raphael previously filled that role. In addition, Slyvia Coutinho, the bank’s previous head of Brazilian operations has been named head of Latin America, a growing area for the bank.

The memo says the shakeup will not impact the way UBS’ legion of financial advisers engage with clients. Nor will it impact compensation plans at the firm. Still, a global business could help the bank target wealthy clients interested in investing in foreign countries.