The FSA and the Swiss Financial Market Supervisory Authority (FINMA) are launching an independent investigation into the events surrounding the huge trading losses incurred by UBS, allegedly as a result of the actions of 'rogue trader' Kweku Adoboli.
The investigation, to be conducted by a third party firm independent of UBS, will focus: on the details of the unauthorised trading activity; on the control failures which permitted the activity to remain undetected; and will include an assessment of the overall strength of UBS's controls to prevent unauthorised or fraudulent trading activity in its Investment Bank. Adoboli, a UBS trader alleged to have lost UBS $2bn (£1.3bn) in unauthorised trading, was today charged with fraud. UBS said it may report a third quarter loss due to the losses incurred. The BBC reports that ...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
