Activist investor and former UBS CEO Luqman Arnold has downed arms in his spat with the bank’s management, according to a Reuters report, as the Swiss bank considers a sale of its investment banking arm. Earlier this year Mr Arnold’s investment company Olivant began publicly demanding the separation of UBS's wealth management business from the investment bank.

The report says he has pledged not to criticise the bank or ask openly for further changes in a truce with UBS chairman Peter Kurer after he restructured the group to make a sale of the investment banking side at least possible.