Group 1 - Swiss lawmakers proposed a compromise on new capital rules for UBS Group to ensure its international competitiveness, leading to a rise in the bank's stock price to its highest level since 2008, with a pre-market increase of over 1.5% to $43.3 [1] - The Swiss government previously suggested that UBS, after acquiring the failing Credit Suisse in 2023, should increase the capital adequacy ratio of its foreign subsidiaries to 100% from the current 60% to cover potential overseas losses [1] - Following media reports of the compromise proposal by a group of lawmakers, UBS's stock price has doubled since the acquisition of Credit Suisse [1] Group 2 - The proposal supports setting the world's strictest capital rules for UBS, emphasizing that the gap between these regulations and those of major financial centers should not be so large as to affect competitiveness [2] - The plan also includes a suggestion to limit investment banking activities to 30% of the bank's risk-weighted assets on its balance sheet, with UBS stating that the proposal is more constructive than the government's extreme approach [3] - The Swiss Finance Ministry has submitted its proposal and will decide how to proceed in due course, with reports indicating that the government is prepared to soften some of the new regulations [3]

>> NEWSMAKERS AND MARKET MOVERS. THIS IS THE PULSE. TOM: GOOD MORNING, WELCOME TO THE PULSE.I'M TOM MACKENZIE. UBS, ONE OF THE BIGGEST GAINERS ON THE STOXX 600 AFTER A GROUP OF CENTER-RIGHT SWISS LAWMAKERS PROPOSE A COMPROMISE ON ITS CAPITAL REQUIREMENTS. IT ALLOWS THE BANK TO USE MORE CONVERTIBLE BONDS TO MEET ITS FUTURE HIGHER REQUIREMENT.JOINING US NOW IS LAURA NOONAN. HOW FAR DOES THIS GO TO ADDRESS THE FEARS THAT UBS WILL HAVE TO RAISE A LOT MORE CAPITAL. LAURA: I WOULD SAY IT IS CERTAINLY POSITIVE NEW ...

Group 1 - The company Galaxy Universal Robotics has reportedly selected CITIC, Huatai, and UBS to arrange its IPO in Hong Kong [1]

Core Viewpoint - A group of Swiss lawmakers is proposing a compromise that balances tougher capital rules for UBS while ensuring the bank's international competitiveness [1] Group 1 - The proposed compromise aims to address the need for stricter capital regulations for UBS [1] - Lawmakers are concerned about the potential impact of these regulations on UBS's ability to compete globally [1] - The discussion reflects ongoing debates in Switzerland regarding financial regulation and its implications for major banks [1]

李镇国表示，为应对预期中激增的上市项目，瑞银在过去一年已相应增加了人手，并进行了内部资源调 配，以全力配合IPO项目的顺利推进。 他提到，今年港股IPO市场募集资金已达到2024年全年总额的2.1倍，并预计港交所将在2025年重新获得 排行第一的IPO融资规模，料明年IPO集资额可逾3000亿港元。 智通财经APP获悉，港股IPO市场回暖态势下，新股申报质量问题也引发监管层高度关注。据报道，香 港证监会与香港交易所联合于上周五联名致函IPO保荐人，针对近期新上市申请中出现的质量下滑及部 分不合规行为表达明确关切。对此，瑞银全球投资银行部副主席及亚洲企业客户部联席主管李镇国解读 称，此举更多是监管机构的一种提醒，而非市场所言的"警告"。 他指出，目前已有超过三百家企业提交上市申请，监管层希望在业务繁忙之际，市场各方仍能确保上市 的整体质量，避免出现敷衍了事或降低标准的情况。 ...

Company Overview - Proactive is a financial news publisher that provides fast, accessible, informative, and actionable business and finance news content to a global investment audience [2] - The company has a team of experienced and qualified news journalists who produce independent content [2] Market Focus - Proactive specializes in medium and small-cap markets while also covering blue-chip companies, commodities, and broader investment stories [3] - The content delivered includes insights across various sectors such as biotech and pharma, mining and natural resources, battery metals, oil and gas, crypto, and emerging digital and EV technologies [3] Technology Adoption - Proactive is recognized for being a forward-looking technology adopter, utilizing technologies to assist and enhance workflows [4] - The company employs automation and software tools, including generative AI, while ensuring that all content is edited and authored by humans [5]

Core Viewpoint - UBS Wealth Management anticipates strong growth in AI capital expenditure in 2026, with AI expected to continue leading global market gains. The Chinese market presents structural opportunities, particularly in the technology sector [1][2]. Group 1: Global Economic Outlook - In 2025, global capital markets performed well, with the Chinese stock market rising over 30% and the U.S. market rebounding more than 50% from April lows. Gold prices increased over 60%, marking the second-best annual performance since 1979 [2]. - UBS predicts that global AI capital expenditure will reach $500 billion in 2026, following a $350 billion expenditure in 2025. By 2030, AI revenue is expected to reach $3.1 trillion, with a compound annual growth rate of 30% [3]. Group 2: Investment Strategies - UBS recommends a diversified investment strategy, maintaining adequate liquidity and constructing cross-asset, cross-regional portfolios. This approach aims to provide better protection during market pullbacks [6]. - Alternative assets, such as gold, are suggested for risk hedging, with expectations that gold prices may reach $4,500 per ounce by mid-2026. The demand for gold remains structurally strong among central banks [6][7]. Group 3: Key Investment Themes - The first investment theme is AI itself, which, despite current returns being lower, is expected to generate significant revenue and transform global productivity [5]. - The second theme focuses on electricity and resources, as AI's rapid development will increase global electricity demand, driving up prices for related commodities like copper and promoting green energy sources [5]. - The third theme is the longevity economy, where the intersection of AI and health presents vast market opportunities, with potential revenue growth in pharmaceuticals, active nutrition, and precision diagnostics [5].

Core Viewpoint - UBS predicts that Hong Kong will see over 150 to 200 new IPOs in 2026, raising a total of over 300 billion HKD, maintaining its position as the global leader in IPO fundraising [1] Group 1: IPO Market Outlook - The expected increase in IPOs will provide a richer selection of investment opportunities, enhancing market activity and attracting more capital and attention [1] - UBS anticipates that there may be super-sized IPOs exceeding 40 billion HKD in 2026, with several projects over 10 billion HKD expected in the first quarter, primarily in specialized technology and consumer sectors [2] - Over 300 companies have already submitted listing applications, and regulatory bodies are emphasizing the importance of maintaining overall listing quality amid the anticipated surge in IPO projects [2] Group 2: Market Drivers - Continuous foreign investment in the Chinese stock market is bringing new capital to Hong Kong, supported by the Federal Reserve's interest rate cuts [1] - The ongoing recovery of the mainland economy is also contributing to the rebound of the stock market [1] - Current valuations of Hong Kong tech stocks remain significantly discounted compared to US counterparts, presenting clear attractiveness [1]

Group 1: Overview of ADRs - ADRs, or American Depository Receipts, are US-listed securities of foreign firms, allowing American investors to trade shares of these companies [1][2] - Notable ADR examples include Taiwan Semiconductor Manufacturing Company Limited, ASML Holding, and Alibaba Group Holding Limited [2] Group 2: UBS Group AG - UBS Group AG's shares rose following a report that the Swiss government was softening regulations regarding capital buffers, which could have required the bank to hold an additional $24 billion in capital [8] - UBS is integrating Credit Suisse and may reduce its headcount by up to 10,000 by 2027, primarily through natural attrition and early retirement [9] - The bank plans to conduct up to $0.9 billion in share buybacks in Q4, aiming for a total of $3 billion in buybacks for the year [9] Group 3: GSK plc - GSK plc received Orphan Drug Designation from the FDA for its lung cancer drug risvutatug rezetecan, which showed positive results in phase 1 clinical trials [10] - Small-cell lung cancer accounts for 13% of all cancers in America, with an estimated 29,500 new diagnoses expected [10] - JPMorgan maintains a Sell rating for GSK with a £17 share price target, amid a legal dispute involving its subsidiary TESARO and AnaptysBio over licensing issues [11]

Core Viewpoint - The Swiss National Bank is in favor of the banking regulation measures proposed for UBS by the Federal Council in June [1] Group 1 - The Vice Chairman of the Swiss National Bank, Antoine Martin, expressed continued support for the proposed banking regulation measures [1]