US Mortgage Litigation Claim Settled By UBS

Swiss bank UBS (UBS) has reached an agreement with the Federal Housing Finance Agency over claims it mis-sold mortgage investments in the US between 2004 and 2007.

UBS revealed that its second quarter net profits for shareholders are expected to total 690 million Swiss francs (£480 million) and the bank has also set aside a total of 865 million francs in the quarter to cover litigation.

In a statement, UBS announced 100 million francs of that total is related to a deal with the UK authorities, which means that the bank is going to disclose the account details of British tax evaders and hand back unpaid taxes.

"The full cost of the settlement is covered by litigation provisions established by UBS during the second quarter of 2013 and in prior periods," said the bank.

UBS has seen its share price rise in the last couple of months, with a sharp rise in the value of its stocks in the last few weeks.

Find up to date information on the FTSE 100 and spread betting strategies at City Index

Disclosure: FX Solutions assumes no responsibility for errors, inaccuracies or omissions in these materials. FX Solutions does not warrant the accuracy or completeness of the information, text, graphics, links or other items contained within these materials. FX Solutions shall not be liable for any special, indirect, incidental, or consequential damages, including without limitation losses, lost revenues, or lost profits that may result from these materials.

The products offered by FX Solutions are leveraged products which carry a high level of risk to your capital with the possibility of losing more than your initial investment and may not be suitable for all investors. Ensure you fully understand the risks involved and seek independent advice if necessary.