UBS CEO reported to be “open to staying on”; Ermotti is seen as a “safe pair of hands”, so underpins UBS spreads, in our view.

• Reuters is reporting that UBS CEO Sergio Ermotti, who was parachuted in after the Credit Suisse rescue to specifically work on the rescue and integration of that business, is open to staying on beyond the integration process itself. Previous indications were for him to leave at end-2026, when UBS expects to have the integration done.
• Ermotti had been CEO of UBS from 2011 to 2020 and was seen as a solid manager who cleaned up the bank’s balance sheet in the wake of the financial crisis. His openness to stay is marginal for spreads but indicative of solid progress in the CS restructuring and integration.