Philipp Hildebrand thinks highly of the head of UBS

In the hours leading up to the emergency takeover of Credit Suisse by UBS, Philipp Hildebrand’s name kept popping up in the media. Now the former head of the Swiss National Bank explains what was important in the takeover.

He says “it’s all about implementation” Philip Hildebrand With the aim of the complex takeover of Credit Suisse by the major Swiss bank UBS. “Now it comes down to what UBS does and how it’s going to do it,” BlackRock’s vice president said Thursday. Bloomberg conference in Dublin (video link).

positioning issue

Every acquisition is difficult. “Especially when two completely different cultures are brought together, the acquisitions are very difficult.” “The question now is how the merger will be structured and how UBS will position itself in light of the intense political debates in Switzerland about competition, size and many other issues,” added the former SNB president.

Not least because the discussion about a merger into a giant bank is highly emotional. Historically, Switzerland has always had many major banks. This is why the merger is such a big change in public perception.

Confidence in the strategy process

He explained that the process is just beginning and there are several options. From the Chairman of the UBS Board of Directors Colm Keeler He is “very experienced”, Hildebrand thinks. Keeler will “steer the strategy process in the appropriate direction.”

In the frantic hours leading up to CS’s emergency rescue by UBS, the name Blackrock also caught on for a short time. Above all, Hildebrand has been mentioned in the media. It was suspected that the former Swiss National Bank chief could have mediated between the federal government and the two banks. There was also speculation in financial circles at the time that Hildebrand could take a role on the merged bank’s board of directors.

Fatal errors

On the general turmoil in the banking sector, which led to the collapse of two US credit institutions and large outflows of deposits last month, Hildebrand said, among other things: “Serious mistakes were made in strategy and risk management.”

Asked if the Credit Suisse bailout would lead to more banking consolidation in Europe, the vice president of the world’s largest wealth manager replied that the focus would be more on smaller US banks.