UBS must broaden its footprint in the United States, Chief Executive Sergio Ermotti said on Wednesday, as he vowed to ready the bank for any outcome from an ongoing Swiss parliamentary debate over proposed tougher capital requirements.
Speaking in St. Gallen, Ermotti said he would press on until the final moment to safeguard the mutual benefits between UBS and Switzerland amid speculation that the lender might consider relocating its headquarters if new rules prove overly burdensome.
The bank obtained a national banking license in the United States in March, a development Ermotti referenced while discussing possible expansion routes. He emphasized that growing the U.S. business would not automatically require buying another firm.
"We may have to do an acquisition. We may want to do an acquisition," he said at the St. Gallen Symposium. "I don’t know about any big organization that can rule out acquisitions."
Last month the government transmitted a bill to parliament that, if enacted, would increase the cost of foreign expansion for UBS. In response, Swiss lawmakers on Monday opted to examine alternative approaches to the proposed capital rules, delaying a rapid decision on the measure.
Parliamentarians are scheduled to resume debate on the capital bill in August, a timeline that makes it unlikely the legislation will be voted on by the full upper chamber before September.
Ermotti said his focus remains on strengthening UBS while keeping it rooted in Switzerland. "I’m focused on one option, making UBS strong out of Switzerland," he said, adding that the bank has a fiduciary duty to prepare for any scenario.
The remarks underscore a dual track for the bank: pursue U.S. expansion opportunities while monitoring and responding to regulatory developments at home. Ermotti framed possible acquisition activity as one of a range of strategic tools rather than a foregone conclusion.
With the parliamentary timetable now extended into the late summer, UBS faces a period of policy uncertainty during which management says it must be ready to act to protect shareholder and institutional interests.