Less than a month after opening its first banking branch in China, UBS has set its sights on India. The Swiss bank plans to set up a fully-fledged banking operation in Mumbai and will offer onshore clients interest rate and foreign exchange derivatives, according to firm officials. Mark Panday, spokesman at UBS in Hong Kong, confirmed its plans to set up in Mumbai, but declined further comment.
UBS has been steadily building up its presence in the Asian hubs, including Hong Kong, Singapore and Korea, over the last couple of years and rivals see the latest moves as building on that growth. "It seems they're now ready to expand their emerging markets exposure," said a market official. Sharon Mitchell, Asia-Pacific head of fixed income, rates and currencies in Sydney, did not return calls. In China, UBS has a banking license, but is still in the process of getting a foreign currency derivatives license (DW, 10/15).
Rival derivative officials at foreign houses in India said they expect UBS to become a niche player, targeting specific clients with a limited array of products and capabilities rather than take a more commercial banking approach.
