Swiss banking giant UBS reported on Wednesday that its net profit increased 17% year-on-year to $2.8 billion in the second quarter, driven by strong performance in its investment banking division. <\/p>\n
Analysts surveyed by Swiss news agency AWP had, on average, forecast a net profit of $2.38 billion and revenue of $13.2 billion, News.Az<\/a> reports, citing AFP<\/a>.<\/p>\n “Strong results in the second quarter and healthy capital generation have further fortified our balance sheet for all seasons and allow us to continue deploying financial resources towards profitable growth opportunities to support clients and deliver on our capital return ambitions,” UBS Chief Executive Officer Sergio Ermotti said in a statement.<\/p>\n Revenue from the bank’s investment banking division surged 26% amid heightened market volatility. The Zurich-based lender described the period as “a record second quarter” for its global markets business, supported by record performances in its equities, services and financing segment.<\/p>\n UBS’s wealth management division also delivered strong results, with revenue rising 13%, supported by fees generated from client transactions.<\/p>\n Major US investment banks, including Goldman Sachs<\/a> and Morgan Stanley, also reported significantly stronger second-quarter earnings, benefiting from robust activity in equity markets, which have remained highly volatile since the outbreak of the conflict in the Middle East.<\/p>\n “As we enter the third quarter, market conditions remain broadly constructive,” UBS said in the statement.<\/p>\n “At the same time, ongoing geopolitical developments and volatile energy prices lead to high levels of uncertainty,” the bank added.<\/p>\n “This could contribute to changes in macroeconomic conditions, periods of elevated volatility and more measured investor sentiment.”<\/p>\n