UBS Taiwan yesterday said that its wealth management business was not affected by the COVID-19 pandemic in the first quarter, but it might face more serious challenges this quarter.
Its local business fared well because clients were interested in taking advantage of the volatility in the equity market, UBS wealth management in Taiwan head Dennis Chen (陳允懋) told a teleconference.
However, since the pandemic spread to the US and Europe in late March, investors have found it more difficult to make economic projections and choose targets, which could weaken the money management business this quarter, Chen said.
Business shrank slightly last month, which might continue until the end of next month, he said, adding that his prediction corresponds with the parent company’s forecast that the pandemic would affect the wealth management business.
Clients have become more conservative as it is difficult to forecast how European markets would evolve, while it is unlikely that China would be able to return to its pre-crisis level growth in the short term, he said.
Some clients have opted to invest in foreign currencies and fixed income to limit uncertainties, he said.
UBS expects the momentum to recover in the second half of this year, if the pandemic eases, he said.
While UBS Group AG provisioned US$268 million for bad loans during the first quarter, the local unit did not have to, Chen said, adding that its credit portfolio remains solid.
The company has split its operation with about 40 employees relocated to an emergency-use office in Taoyuan’s Longtan District (龍潭) to prevent possible internal contagion, while some staff are working from home, he said.
It has canceled all physical meetings with clients, and agents have to reach their clients online, he said.
Shiina Ito has had fewer Chinese customers at her Tokyo jewelry shop since Beijing issued a travel warning in the wake of a diplomatic spat, but she said she was not concerned. A souring of Tokyo-Beijing relations this month, following remarks by Japanese Prime Minister Sanae Takaichi about Taiwan, has fueled concerns about the impact on the ritzy boutiques, noodle joints and hotels where holidaymakers spend their cash. However, businesses in Tokyo largely shrugged off any anxiety. “Since there are fewer Chinese customers, it’s become a bit easier for Japanese shoppers to visit, so our sales haven’t really dropped,” Ito
The number of Taiwanese working in the US rose to a record high of 137,000 last year, driven largely by Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) rapid overseas expansion, according to government data released yesterday. A total of 666,000 Taiwanese nationals were employed abroad last year, an increase of 45,000 from 2023 and the highest level since the COVID-19 pandemic, data from the Directorate-General of Budget, Accounting and Statistics (DGBAS) showed. Overseas employment had steadily increased between 2009 and 2019, peaking at 739,000, before plunging to 319,000 in 2021 amid US-China trade tensions, global supply chain shifts, reshoring by Taiwanese companies and
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) received about NT$147 billion (US$4.71 billion) in subsidies from the US, Japanese, German and Chinese governments over the past two years for its global expansion. Financial data compiled by the world’s largest contract chipmaker showed the company secured NT$4.77 billion in subsidies from the governments in the third quarter, bringing the total for the first three quarters of the year to about NT$71.9 billion. Along with the NT$75.16 billion in financial aid TSMC received last year, the chipmaker obtained NT$147 billion in subsidies in almost two years, the data showed. The subsidies received by its subsidiaries —
Taiwan Semiconductor Manufacturing Co (TSMC) Chairman C.C. Wei (魏哲家) and the company’s former chairman, Mark Liu (劉德音), both received the Robert N. Noyce Award -- the semiconductor industry’s highest honor -- in San Jose, California, on Thursday (local time). Speaking at the award event, Liu, who retired last year, expressed gratitude to his wife, his dissertation advisor at the University of California, Berkeley, his supervisors at AT&T Bell Laboratories -- where he worked on optical fiber communication systems before joining TSMC, TSMC partners, and industry colleagues. Liu said that working alongside TSMC
RSS