The Monetary Authority of Singapore (MAS) has slapped a $8m civil penalty on UBS over deceptive trades by the bank's client advisers in Singapore.
The biggest Swiss bank and leading private bank in Asia overcharged its clients for transactions with derivatives and bonds. The transactions criticized by MAS took place from 2008 through 2017.
"The conduct of UBS through its representatives is unacceptable and has no place in the financial services industry where trust and integrity are paramount," said Ong Chong Tee, deputy managing director, financial supervision, at MAS.
The conduct of UBS through its representatives is unacceptable and has no place in the financial services industry"
This comes just four days after UBS was fined HK$400 million ($51m) in Hong Kong for overcharging thousands of global wealth management clients for nearly a decade in a case that exposed serious and systematic problems with the bank's internal controls.
An investigation found that advisers in Singapore either did not adhere to the spread or interbank price agreed with the client, failed to disclose or made only partial disclosures when a limit order's interbank prices improved, or overcharged clients.
"The client advisers' actions were possible because OTC [over-the-counter] product prices were not readily accessible to clients for them to verify against the transacted prices advised by UBS," MAS said.
"The enforcement action followed UBS' reporting of the misconduct to MAS...UBS has admitted liability for its client advisors' actions and paid MAS the civil penalty," MAS added in a statement.
"As part of the civil penalty settlement, UBS will compensate all affected clients managed by UBS' Singapore branch."