Investment Strategy - Amova is investing in French government bonds [1] - The company believes France is "too big to fail" [1] Risk Assessment - Ratings companies are downgrading France's credit score [1]

France is a tale of two clichés, says @johnauthers. It's now the sick man of Europe, and too big to fail (via @opinion) https://t.co/qY4ygirFCg ...

Core Viewpoint - Switzerland's Federal Department of Finance has proposed stricter capital requirements for UBS Group AG following its acquisition of Credit Suisse to mitigate risks of a similar crisis in the future [1][3]. Capital Requirements - UBS is required to fully capitalize its foreign subsidiaries, increasing the common equity tier-one capital by up to $26 billion from the current 60% threshold [1][9]. - UBS can offset $8 billion through a reduction in Additional Tier 1 (AT1) bond holdings, resulting in a net capital increase of $18 billion [2][9]. - UBS has expressed strong disagreement with the proposed capital requirements, stating they are disproportionate and not aligned with international standards [4][9]. Legislative Process - The proposed capital reforms will undergo a consultation process before being submitted to parliament, with implementation not expected before 2028 [5]. UBS-Credit Suisse Integration - UBS completed the acquisition of Credit Suisse in 2023 and is facing challenges, including legal claims that are increasing costs [6]. - UBS aims to complete the integration of Credit Suisse by the end of 2026, having already merged 95 branches in Switzerland since the merger [7]. - As of the first quarter of 2025, UBS achieved $0.9 billion in gross cost savings, totaling $8.4 billion in cumulative savings, which is approximately 65% of its goal to achieve $13 billion in annualized cost savings by the end of 2026 [8]. Market Performance - Over the past six months, UBS shares have increased by 6.1%, while the industry has grown by 23.1% [10].