UBS reports Q3 profit of CHF2.8 billion

Swiss banking group UBS has reported strong growth in its third quarter results, as profits for the three months to September climbed to CHF2.8 billion, against CHF1.6 billion for the same period a year earlier.

UBS's wealth management operation turned in a particularly impressive result. Net new money inflows in the wealth management businesses in the third quarter were CHF31.1 billion, up from CHF20.2 billion in the second quarter, reflecting strong performances in all regions. The international business (excluding the domestic business in the US) recorded inflows of CHF19.3 billion, driven by further growth in Asia and UBS's five key target European markets.

This leaves UBS invested assets at CHF2,666 billion on September 30, 2005, 6% above the level at the end of Q2, and 20% higher than the same date in the prior year.

"It is unusual for the third quarter to be so strong. But the market offered plenty of opportunities - and we had the business strength to take advantage of them for our clients and on our own behalf," said Clive Standish, chief financial officer.

Mr Standish went on to note that UBS had experienced softening market conditions in recent weeks, but he still expects UBS to enjoy one of its most successful years on record.