UBS aims to increase wealth management client advisor headcount to 4,700 in the medium term from the current level of around 4,200, with a particular focus on growth in the emerging market and Asia-Pacific segments.

UBS aims to increase wealth management client advisor headcount to 4,700 in the medium term from the current level of around 4,200, with a particular focus on growth in the emerging market and Asia-Pacific segments, Switzerland’s biggest bank said yesterday.

In its annual report, the firm outlined its ambitions for the wealth management operation, now more important than ever to a firm that has taken steps to reduce the risk exposures of its investment bank following massive losses in the 2008 financial crisis and last year’s $2.3 billion rogue trading loss in London.

“We intend to increase our client advisor base to about 4,700 advisors in the medium term, with a particular emphasis on the emerging markets and Asia Pacific growth regions,” the firm said.

“We remain confident on the long-term growth prospects of our wealth management business, and we expect the wealth management market to grow twice as fast as the gross domestic product in all regions of the globe. From a client segment perspective, the global ultra high net worth market shows the highest growth potential, followed by the high net worth market,” the report said.

UBS added that the wealth creation among these client segments was likely to be fastest in Latin America, the Middle East, Asia and Central and Eastern Europe.  

“As the majority of our clients from emerging markets prefer to book their assets in established financial centers, we are strengthening our emerging markets coverage through our booking centers in the US, the UK and Switzerland. We will continue to expand our local presence where appropriate, for example, through the establishment of new advisory offices, such as the one recently opened in Israel,” it said.

Within Wealth Management Americas, the Swiss firm said it would make advisor training and platform enhancements, as well as further strengthening the links with the investment bank. It also said advisor attrition at WMA had been reduced "significantly".

As reported separately by this publication today, the annual report said UBS’ global executive board have taken a 23 per cent pay cut on their bonus pool from last year, but have still been awarded SFr70 million ($75 million) in bonuses between them. (To view this article, click here).

At the end of 2011,UBS had SFr750 billion of invested assets for wealth management clients, making the firm one of the biggest of these players in the world. As of the end of 2011, UBS’ wealth management arm employed roughly 16,000 people worldwide, of whom approximately 4,200 were client advisors

UBS spoke of its growth ambitions for its Global Financial Intermediaries business segment, which serves around 1,700 asset managers.

“Global FIM is represented in 11 Swiss locations and 14 international locations. We regard financial intermediaries as an attractive client segment offering high growth potential,” it said.