UBS under Scrutiny: Finma Demands Stronger Emergency Plans Following Credit Suisse Takeover

The Swiss financial regulator Finma has asked UBS to revise and strengthen its emergency and recovery plans. This measure follows the acquisition of the troubled Credit Suisse last year. Finma announced in a statement that the annual approval of UBS's resolution strategy has been suspended. Banks are required to develop such strategies to be prepared for possible crisis situations. The regulatory authority now expects UBS to submit a new plan. Based on the experiences from the crisis at Credit Suisse, Finma sees the need to expand the options for strengthening crisis preparedness and resolution planning for systemically important banks. UBS is currently in the midst of the three-year integration of Credit Suisse, which collapsed last year after years of scandals and losses.