UBS Sticks with EY: Continuity in Auditing After Credit Suisse Acquisition
In a noteworthy development in the monetary services sector, Union Bank of Switzerland has obviously retained Ernst & Young (EY) as its external examiner. This decision comes in the aftermath of UBS’s acquisition of Credit Suisse, a move that will see EY’s role expanded to include auditing Credit Suisse’s accounts from 2024 forward. This information was reported by the Monetary Times, citing sources familiar with the matter.
UBS and EY: A Continued Partnership
UBS Group, an important global financial facilities firm offering wealth organization, asset management, and asset banking products and facilities, has had a long-standing association with EY. The latter, known formally as Ernst & Young Auditores Independentes S.S., has been the auditor for Union Bank of Switzerland for several years. Markus Ronner serves as the Group Chief Compliance and Governance Officer at UBS, overseeing the company’s compliance with regulatory requirements and governance standards.
The decision to retain EY as the external auditor after the Credit Suisse takeover underscores the trust and confidence UBS has in EY’s auditing capabilities. It also signifies the importance places on maintaining continuity and stability in its financial reporting processes during this period of significant change.
The Role of EY Post-Credit Suisse Takeover
With the acquisition of Credit Suisse, EY’s errands as an external auditor for Union Bank of Switzerland will enlarge significantly. From 2024, EY will be accountable for auditing Credit Suisse’s accounts, a task that will be undertaken by PricewaterhouseCoopers (PwC). PwC has been the examiner for Credit Suisse since 2020 and will continue to audit the bank’s accounts in 2023.
The magnitude of this new contract will necessitate EY mobilizing staff from other countries to work on the audit, according to sources cited by the Financial Times. This international collaboration within EY will ensure a comprehensive and thorough audit of both UBS and Credit Suisse’s accounts.
Credit Suisse Acquisition: A Strategic Move by UBS
UBS’s choice to obtain Credit Suisse for 3 billion Swiss francs ($3.48 billion) in March came after frightened customers withdrew currency from their accounts at the troubled lender. This planned move by UBS is expected to strengthen its position in the global monetary services market and diversify its collection of services.
However, the gain also brings with it certain trials. PwC, in Credit Suisse’s 2022 annual account, had included an “adverse opinion” on the efficiency of the bank’s internal panels over its reportage. Despite this, PwC stated that the financial statements “present fairly, in all material respects,” the financial position of the bank from 2020 through 2022.
Looking Ahead: UBS, EY, and the Future of Auditing
As UBS and EY circumnavigate this new chapter in their company, the focus will be on confirming a smooth change and maintaining the highest values of financial journalism. Both UBS and EY have not yet been observed in the Financial Times report.
The choice to retain EY as the examiner after the Credit Suisse takeover is evidence of UBS’s commitment to slide and accountability in its monetary operations. As the global financial scene continues to evolve, the role of examiners like EY becomes increasingly critical in fostering trust and certainty among stakeholders.
In conclusion, UBS’s choice to retain EY as its examiner after the Credit Suisse takeover marks an important milestone in the financial facilities industry. It underscores the role of strong, reliable auditing in ensuring financial constancy and integrity. As we look forward to 2024, all eyes will be on EY as it takes on the extended role of auditing Credit Suisse’s versions.