LONDON â€" UBS has started to revamp its investment bank.
Only days after the Swiss bank announced 10,000 job cuts as part of a major overhaul, UBS has begun to reorganize its investment banking unit into two separate divisions, according to an internal memo reviewed by DealBook.
The European bank's so-called corporate client solutions division, which will represent around one-third of the investment bank's revenues, will now focus on advisory and capital market services.
UBS said David Soanes would run the division's operations in Europe, Steve Cummings would head up the Americas region and Matthew Grounds would lead the Asia Pacific region. Rajeev Misra will also become global head of the bank's financing solutions, according to the internal memo.
Simon Warshaw, previously co-head of UBS's investment banking business in Europe, will now focus on plans to develop the firm's corporate client solutions division unit in the region.
UBS's newly c reated investor client services unit inside its investment banking division will include the firm's existing equities, foreign exchange and credit operations. The Swiss bank expects the business to provide around two-thirds of the revenues for its combined investment banking unit.
As part of the restructuring, UBS said it had appointed Mike Stewart as global head of equities, while Chris Murphy will become global head of rates and credit. Chris Vogelgesang and George Athanasopoulos also will now lead the form's foreign exchange and precious metals operations in the investor client services division.
“I don't believe that in order to be successful in business you have to be all things to all people,†Andrea Orcel, a former Bank of America banker who will lead UBS's global investment banking operations, said in the internal memo. “You must, however, excel at what you do.â€
The appointments come less than a week after UBS announced major layoffs in its investment banking unit as the looks to reduce its risky trading activity.
The majority of the job losses will be targeted in the Swiss bank's operations in London and New York, with the firm's fixed income business expected to provide many of the layoffs. Carsten Kengeter, the former co-head of UBS's global investment banking operations, also will step down from the firm's executive board to oversee the winding down of the bank's unprofitable investment banking businesses and financial positions.
UBS' plans include a 16 percent reduction in its global work force, to 54,000. Last year, the bank also announced a separate batch of 3,500 job cuts.
