UBS DOESN'T have a problem retaining people, DOES want to hire junior and mid-ranking M&A bankers in London
Much has been written about the leakage from UBS's US investment banking business. According to Bloomberg, it's seen 'at least 50 dealmakers' slip away from its US investment bank since 2009. Another two dribbled out only this week.
However, UBS is adamant that staff seepage is less of an issue than it seems. It's released a statement claiming that levels of attrition haven't changed at all in the investment bank this year and that, in fact, "voluntary attrition is lower than 2006/2007."
Headhunters here say UBS hasn't lost many M&A bankers in London. It is, however, said to be looking for senior UK coverage bankers and for senior European retail and consumer coverage people based in London.
It's also said to be hiring junior and mid-ranking M&A staff here after recruiting 168 people across IBD globally in 2010, of whom 44 were MDs or EDs.
The seeming stability of UBS's European M&A franchise suggests that the bank pitched pay at the right level in Europe for 2010. "They paid below the market," says the headhunter. "Not massively below the market, but definitely below the market."
Given pressure to retain M&A bankers in the US, UBS could have more of a challenge keeping Europeans happy in 2011 - particularly given the market share figures below.
UBS European IBD market shares, year to date 2011 vs. same period 2010
ECM: 2011=3.8%; 2010=5.6%
DCM: 2011=3.3%; 2010=4.6%
M&A: 2011=4.4%; 2010=7.1%
Source: Dealogic
