Stefan Wermuth/Bloomberg Top dealmakers from global investment banks have been heading to Zurich in recent weeks to pitch UBS Group AG on transactions that could change the face of Swiss finance.The bank's senior leadership has been sitting through presentations as they seek a solution to perhaps its biggest challenge in over a decade: A $26 billion increase in capital requirements leveled by its home government, Switzerland.  Options theoretically on the table range from the dramatic — a merger or acqui ...

Group 1 - UBS is considering relocating to the United States due to new capital requirement proposals from the Swiss government [1][3] - Senior UBS executives have engaged with officials from the Trump administration to explore strategic options, including a potential acquisition of a U.S. bank or a merger [1] - CEO Sergio Ermotti criticized the Swiss government's capital requirement proposals as punitive and excessive, indicating the need to protect shareholders' interests [2][3] Group 2 - The Swiss government proposed stricter capital rules for UBS following its acquisition of Credit Suisse, which could require UBS to hold an additional $26 billion in core capital [3] - There is an increasing consideration within UBS to move its headquarters from Switzerland, with London being mentioned as a potential alternative [4]

Group 1 - UBS Group AG is considering a strategy shift to address increased capital requirements, potentially involving the acquisition of a US bank or a merger [1] - CEO Sergio Ermotti stated it is "too early" to comment on specific responses to the proposed capital requirements [2] - Ermotti criticized the proposed capital requirements as "very punitive and excessive" and emphasized the need to protect shareholders' and stakeholders' interests while maintaining UBS's base in Switzerland [3] Group 2 - UBS is lobbying the Swiss government to amend proposals that could require the bank to hold an additional $26 billion in capital [4] - The Swiss government is seeking UBS's support to improve trade terms following the imposition of a 39% tariff on Swiss products by the Trump administration [4]

This story was originally published on Banking Dive. To receive daily news and insights, subscribe to our free daily Banking Dive newsletter. When Federal Reserve governors voted in June cut the enhanced supplementary leverage ratio – a measure of how much capital banks must hold relative to their assets – Sen. Elizabeth Warren’s near-immediate response was that such a move would not “free up a pot of money for banks to lend more or buy more assets.” Rather, it would spur banks to push “increased dividends ...