UPDATE: UBS Posts Higher Q2 Profit

Switzerland's biggest bank UBS AG

reported a 15% gain in its second-quarter net profit. The Zurich-based bank's quarterly net profit surged to 792 million Swiss francs ($876 million), versus a year-ago profit of 690 million francs. Its adjusted profit before tax came in at CHF 1.2 billion, while adjusted operating income was CHF 7.0 billion. However, analysts were estimating a net profit of 750 million francs. Wealth management's adjusted profit before tax came in at CHF 393 million, while its net new money came in strong at CHF 10.7 billion. Its global asset management's adjusted profit before tax was CHF 107 million in the quarter, while it drew in net new money of CHF 11.6 billion. Its investment bank posted an adjusted profit before tax of CHF 563 million. UBS Group Chief Executive Officer Sergio P. Ermotti said, "We delivered strong underlying results in a market environment that remained challenging for our clients and the industry. We also continued to actively address litigation matters, reduce our non-core and legacy assets and execute on our strategic initiatives." UBS shares fell 0.27% to close at $18.32 yesterday.