UBS Group has applied for a banking licence in the United States, signalling its intent to expand its wealth management operations in the world’s largest economy. The move comes as the Swiss bank faces increasingly stringent regulations at home following its takeover of Credit Suisse in 2023. UBS is a global financial services company providing wealth management, investment banking, and asset management services to individuals, institutions, and corporations worldwide. The company’s acquisition of Credit Suisse has led to new Swiss regulations that UBS views as restrictive to its international ambitions.
According to a memo to staff, Rob Karofsky, the president of UBS Americas, and Michael Camacho, head of UBS Global Wealth Management US, stated that the application for a National Bank Charter for UBS Bank USA is a crucial step in building UBS’s position as a leading global wealth manager in the U.S. The licence, if approved, would enable UBS to offer a comprehensive suite of services comparable to those of U.S. banks, including checking accounts, savings accounts, and mortgages. UBS anticipates potential approval in 2026, subject to regulatory review.
Swiss regulators are proposing stricter capital rules to support UBS’s foreign units, a measure intended to prevent a recurrence of the Credit Suisse collapse. These regulations could make international expansion more costly for UBS. CEO Sergio Ermotti has previously noted that UBS’s cost base is that of a much larger organisation, but its product offerings need to catch up to fully capitalise on its potential.
The U.S. represents a key growth market for UBS’s wealth management division, with over 1,000 individuals becoming millionaires daily in 2024. Chairman Colm Kelleher highlighted the profitability gains achieved by Morgan Stanley after acquiring Smith Barney, suggesting a similar potential for UBS in the U.S. market. The application does not signal immediate product launches, but paves the way for future development which will be rolled out in phases.
