Swiss bank UBS, which had been hit hard by the sub-prime mortgage crisis, has said it will break even or report a slight loss for the second quarter.
This is a sharp contrast to its massive first quarter loss of 11.54 billion Swiss francs.
UBS said that further market deterioration led to writedowns and losses on positions held by its investment bank division, but positive results from other divisions such as wealth management had offset the impact.
In addition, a tax credit of around three billion Swiss francs will help boost its accounts. UBS also said it did not need to raise new capital. UBS has written down over $37 billion in assets since the sub-prime crisis emerged last year.
