UBS AG, Switzerland’s biggest bank, said Chris Vogelgesang will step down as co-head of foreign exchange and precious metals as the bank merges the unit with rates and credit amid regulatory probes into currency markets.
Siena, the medieval city renowned for its Palio horse races, is home to the world’s oldest bank. Within its aging walls lies a distinctly 21st-century tale of devastation wrought by local politicians and global financiers.
UBS AG will need three to five years to fully transform its investment bank under a plan outlined last month, Andrea Orcel, who heads the unit, told staff at town hall-style meetings over the past two weeks, according to two people who heard him speak.
UBS AG Chief Executive Officer Sergio Ermotti’s 2012 pay of 8.87 million Swiss francs ($9.3 million) was dwarfed by the 24.9 million francs in cash and stock investment bank head Andrea Orcel got on joining the bank.
UBS AG is in the process of rooting out “negative elements” of its corporate culture after Switzerland’s largest bank was fined $1.5 billion by regulators for trying to rig global interest rates, said Andrea Orcel, chief executive officer of the investment bank.
UBS AG hired Andrea Orcel, a top Bank of America Corp. dealmaker, as co-head of its investment bank to help run a division rocked by key departures and last year’s $2.3 billion loss from unauthorized trading.