

Risk density edges higher at UBS’s legacy unit
New division established post Credit Suisse acquisition partly responsible for $785m quarterly loss
UBS’s non-core and legacy division, a newly created business unit following the takeover of Credit Suisse, saw its risk density increase in the third quarter, despite the bank’s efforts to offload unwanted assets.
Calculated as risk-weighted assets (RWAs) divided by total leverage exposures, the division’s risk density shot up by 9.4 percentage points to 49.6% in the three months to end-September. This was the result of its leverage exposures falling 25% compared with a more modest 8%
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