UBS Group Chairman Colm Kelleher has firmly rejected the notion that the Swiss bank is ‘too big to fail,’ citing its strong capitalization and prudent risk management practices. During the UBS Annual General Meeting, Kelleher vigorously defended the bank’s financial position, emphasizing that it possesses one of the best capital ratios in Europe. He highlighted UBS’s sustainable business model and low-risk balance sheet as key factors contributing to its resilience.
Kelleher’s comments were made in response to proposals from the Swiss government to strengthen capital requirements for large banks. Kelleher argued that such measures are unnecessary and could hinder UBS’s ability to support the Swiss economy. He asserted that UBS already meets or exceeds all regulatory capital requirements and that additional measures would only serve to increase costs and reduce competitiveness.
Kelleher’s speech comes at a time when the banking sector is facing increased scrutiny and calls for reform. The collapse of several major banks during the financial crisis has raised concerns about the systemic risks posed by large financial institutions. However, Kelleher maintained that UBS has learned from the past and has taken significant steps to strengthen its financial position. He expressed confidence in UBS’s ability to navigate future challenges and continue to play a vital role in the Swiss economy.
