Credit Suisse has filed an arbitration claim with the Financial Industry Regulatory Authority alleging that a unit of UBS unfairly poached staff from its U.S. private-banking business over the past several months, the Wall Street Journal reported, citing a person familiar with the matter.
Bloomberg News reports that the claim with the Wall Street self-regulator was filed even as Credit Suisse winds down the U.S. unit at which the financial advisers worked, the Journal said. About 70 of the 300 brokers from that division left for UBS in recent months, the Journal reported, citing the person familiar with the matter.
The departures to UBS have hurt a plan to transfer U.S. private-banking business from Credit Suisse to Wells Fargo, the Journal reported. The bank struck a deal in October with the Swiss firm to smooth the recruitment of its private-bank employees as part of Credit Suisse’s planned retreat from managing wealth for American clients.
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