Lunchtime Links: Everyone agrees that UBS should give up on FICC

Carsten Kengeter has got a thankless task ahead. This is the verdict of a big article on UBS on Bloomberg today.

Bloomberg journalists have spoken to various people, all of whom agree unanimously that Kengeter's attempts to revivify UBS's investment bank are probably doomed.

"They're not going to be able to repair this bank back to pre-crisis levels," says Simon Maughan, co-head of European equities at MF Global Ltd. "Gruebel needs to revise down his targets for the investment bank, as they aren't going to meet them. The market knows they haven't got a chance."

"Nobody is really believing that Gruebel will reach his target" for fixed-income revenue," says Guy de Blonay, who manages 1.5bn, including UBS shares at Jupiter Fund Management.

And worse: cutting UBS fixed-income unit's CHF8bn-franc annual revenue target by half would reduce the capital consumed by the division and improve UBS's return on equity by 17%, according to Nicholas Watts, an analyst at Redburn Partners.

Maybe UBS FICC bankers should be looking for a new job?

David Gray Asia-Pacific head of prime services at UBS, has left after 17 years. (Bloomberg)

Credit Suisse wants to hire 6 people for its Brazilian investment banking team this year. (Bloomberg)

The benefits of a tax on financial transactions are now so widely accepted that future generations will ask what took us so long. (Guardian)

BAML has merged its corporate and investment banking divisions. (Financial Times)

Naguib Kheraj has gone back to Barclays, despite leaving Lazard because he didn't have enough time for charity work. (Telegraph)

Daiwa has hired a former ECB economist. (Assetservicingtimes)

They like them young, before they're fully formed, mentally, because they like to indoctrinate people in the Goldman way. (NYMag)

Europeans are happier when they have a day off and work less; Americans would rather be working extra hours. (Physorg)