Sergio Ermotti: UBS' Rollercoaster Journey
Ermotti's Grand Design Faces Challenges, Struggling to Succeed
CEO of UBS, Sergio Ermotti, knows a thing or two about soaring high and taking some hard falls. That might be why he approached winning the "European Banker of the Year" award in Frankfurt, back in November 2018, with a touch of caution. His predecessors, who've also taken home the same honor, haven't exactly been favorites in the good books of regulators and investors.
Marcel Ospel, who received the award in 1997, was removed from his post as UBS Chairman during the financial crisis. Peter Wuffli, promoted to CEO by Ospel and awarded in 2005, resigned abruptly in 2007, evidently knowing that a storm was brewing for the bank. Josef Ackermann, lauded in 2009, fell from grace two years later in Germany. So, where does Ermotti stand in this long line of tough breaks?
Since accepting the 'European Banker of the Year' title, Ermotti's career has gone through a whirlwind of developments. In October 2020, he ended his first term as CEO of UBS, passing the baton to Ralph Hamers, then the CEO of ING Group. Yet, in an unexpected turn of events, Ermotti found himself back in the hot seat of UBS Group in April 2023. This came after the acquisition of Credit Suisse, which saw him replacing Hamers once more.
Alongside his role at UBS, Ermotti also served as the Chairman of Swiss Re, one of the world's largest reinsurance companies, from April 2021 until his sudden departure on April 30, 2023. Although shareholders had re-elected him for another term earlier.
By March 2025, Ermotti's earnings had soared to SFr14.9 million ($16.8 million), making him the highest-paid bank executive in Europe. The question remains, will Ermotti's story have a different ending than his predecessors? Only time will tell.
- Despite his win of the "European Banker of the Year" award in 2018, Sergio Ermotti, the chairman of UBS, might be cautious due to the fate of his predecessors who also received the same honor but faced trouble with regulators and investors.
- In a somewhat similar situation to Marcel Ospel, who was removed from his post as UBS Chairman during the financial crisis, and Josef Ackermann who fell from grace in Germany, Sergio Ermotti's future at UBS remains uncertain.
- During his tenure at UBS, Sergio Ermotti has experienced a rollercoaster journey, stepping down as CEO in October 2020, only to return in April 2023 after the acquisition of Credit Suisse.
- Beyond his role at UBS, Ermotti served as the Chairman of Swiss Re, a position he held from April 2021 until his sudden departure on April 30, 2023, despite being re-elected for another term earlier. The question remains whether Ermotti's story will have a different ending than his predecessors in the realm of finance and business.
