UBS has promoted Matt Hanning to head of investment banking for Asia Pacific, replacing Matthew Grounds, who will focus on running the Swiss bank’s Australian business, according to an internal memo seen by FinanceAsia on Monday.
Hanning’s title will be Asia-Pacific head of corporate client solutions (CCS), which encompasses capital markets and advisory. Hanning will also join the global UBS investment banking executive committee, a significant leg up.
The move is effective immediately, according to the memo signed by Andrea Orcel, global CEO of investment banking, and Chi-Won Yoon, UBS’s Asia-Pacific CEO.
The new position gives Hanning a slightly wider remit than his role as co-head of Asia investment banking, because it adds Japan and Australia to his remit.
Hanning has advised on more than 50 initial public offerings, financings and M&A transactions across a broad range of industries and countries in Asia Pacific during his career.
He joined UBS in Hong Kong in 2006 and since 2009 has co-led UBS’s Asian business, excluding Japan and Australia, with David Chin, who is now sole head of CCS in Asia, excluding Japan and Australia.
The two were promoted when Rob Rankin surprised the market by tendering his resignation.
Under Hanning and Chin’s leadership, UBS was ranked number one in terms of investment banking revenues in Asia Pacific ex-Japan in 2013, according to Dealogic.
FinanceAsia recognized this strong performance by naming UBS the Best Investment Bank in the region last year. A key reason for the award was that the bank decided to rip up the old playbook and become more innovative when it comes to providing solutions for clients. It advised on a greater number of privately negotiated block trades and club-style deals that helped to put some margin back into the business, as well as out-of-the-box thinking in terms of how to source deals and when to execute them to achieve the desired outcome for the issuer or seller.
Before joining UBS, Hanning held a number of senior roles at Morgan Stanley, including head of Asia Pacific M&A.
Grounds for a quieter life
Grounds has led UBS’s Asia-Pacific investment bank through major changes during the past two years, as the Swiss bank adapted its strategy to be profitable in depressed financial markets and to comply with higher capital requirements in the wake of the global financial crisis. The investment bank savagely cut costs, partly by exiting capital-intensive fixed income trading, and focused on supporting its large wealth management business.
CCS includes all advisory and solutions businesses plus execution that involves corporate, financial institutions and sponsor clients. UBS restructured its investment bank into two core segments in October 2012. The other segment is called investor client services and includes execution, distribution and trading for institutional investors.
Grounds is stepping back from his role as Asia-Pacific head of CCS and the investment banking executive committee to focus on leading the firm's Australasian business.
He will remain CEO and country head for UBS Australasia and continue as a member of the Asia-Pacific group executive committee. Grounds will report solely to Yoon.
Other moves in UBS Australia include Anthony Sweetman becoming head of the domestic investment bank. Steve Boxall and Chris Williams will co-head equity in Australia.
