Artisan urges UBS to leave Switzerland over capital rules

Artisan Partners sent a letter to the board of directors of UBS Group AG on September 30, 2026, urging the lender to leave Switzerland. The Artisan Partners Global Value Team and International Value Group manage discretionary accounts that collectively hold more than 60 million UBS shares. Both teams initiated their positions in UBS in 2015.

The investor criticized proposed Swiss banking rules that would raise the capital UBS must hold. Current rules require UBS to hold USD 56 billion in core equity tier one capital. Artisan stated that the proposal likely to become law raises that requirement to USD 72 billion, locking away USD 16 billion in shareholder capital.

Artisan calculated that in an alternative jurisdiction, that USD 16 billion could generate a 15% return, translating to USD 2.4 billion in additional net income. Applying a 15 times multiple, Artisan estimated that the higher Swiss requirement costs UBS USD 36 billion in foregone market capitalization, or roughly 23% of its current market value.

Calling the regulatory cost excessive and punitive, Artisan argued there is no compelling reason for UBS to remain a Swiss company aside from temporary friction and moving costs. The fund manager urged the board to part ways with Switzerland and its regulatory framework.