‘Size in banking is not everything’: UOB pursues capital-light strategy as Q2 profit rises; trims fee growth outlook

[SINGAPORE] UOB signalled that it will continue pruning non-core businesses as it reshapes itself into a more capital-light, advisory-led lender, with group chief executive Wee Ee Cheong saying that the bank will focus on businesses where it has a competitive advantage.

The comments came after UOB reported a 10 per cent rise in its second-quarter net profit and two days after announcing the S$555 million sale of its asset management arm to Allianz Global Investors.

“Size in banking is not everything,” Wee said at the bank’s second-quarter results briefing on Friday (Aug 7). “To be a good bank, you have to be relevant.”