UBS has announced that it will be retaining Christian Bluhm as its chief risk officer for the "foreseeable future" to bolster controls during its takeover of Credit Suisse. The decision comes as Chief Executive Sergio Ermotti continues to restructure UBS's ranks while integrating Credit Suisse, the 167-year-old Swiss banking rival which it rescued in March.
Bluhm, who has been UBS's risk chief since 2016, was expected to step down to focus on his photography business. However, Damian Vogel, who currently oversees risk in its wealth management unit, was set to replace Bluhm in May, has now been appointed to a newly-created role of group risk control head of integration to oversee risk functions related to the Credit Suisse deal.
Credit Suisse has been involved in a string of scandals over the years, resulting in a Swiss-orchestrated takeover by UBS. With the announcement, UBS aims to ensure that it is well-prepared and appropriately set up in a crucial area that is crucial for its future success.
The larger bank, which has largely avoided the missteps of Credit Suisse, will publish its first-quarter results on Tuesday. Credit Suisse, on the other hand, suffered 61 billion Swiss francs ($68 billion) in net asset outflows in the first quarter. The move by UBS is expected to bolster its controls and ensure that the integration with Credit Suisse goes smoothly.
