NEW YORK May 15 UBS AG has hired Paul Hatch, a veteran wealth management executive, to oversee products and services as part of a restructuring of its newly profitable brokerage operations in the Americas.
In a memo to employees on Thursday, UBS Wealth Management Americas Chief Executive Bob McCann said he recruited Hatch as group managing director and head of "Advice and Solutions" to consolidate oversight of the products and services the firm's 7,000 brokers to sell to "high net worth" and "ultra high net worth" clients.
For McCann, a former Merrill Lynch executive who joined UBS in late 2009 to turn around its ailing U.S. brokerage formerly known as PaineWebber, the appointment departs from his strategy of filling the executive ranks with Merrill veterans.
Hatch, a U.S. Naval Academy graduate, began his brokerage career at E.F. Hutton in 1986 and went on to become national sales manager and then head of strategy and client solutions at Smith Barney. He left Morgan Stanley, which acquired Smith Barney, almost two years ago as part of an exodus of many former Smith Barney managers.
In the interim, he started a firm in Georgia to consult with and buy investment management companies, according to his LinkedIn profile.
John Brown, who runs middle markets at UBS Wealth Americas, David McWilliams, head of wealth management transformation, and Tom Troy, head of capital markets, will report to Hatch. All are on the firm's executive committee and previously worked at Merrill. Also reporting to Hatch is Mike Ryan, UBS Wealth America's chief investment strategist.
Losing ground in the new management lineup are executive committee members Bill Carroll, another Merrill veteran who had run the "Solutions," or product group, and Jason Chandler, who last year was put in charge of the firm's brokers and their managers.
Carroll will now lead the firm's West sales region and have "national sales" responsibility, while Chandler will run the East region and oversee the international brokerage businesses in the Americas.
Bob Mulholland, McCann's second-in-command, will be further "realigning the field leadership structure to create greater accountability" in coming weeks, the memo said.
The reorganization makes UBS Wealth Americas the last of the four big U.S. brokerage firms to realign their sales networks and management structure this year as they prompt brokers to work with clients with a minimum of $250,000 to $350,000 to invest. Morgan Stanley, Wells Fargo Advisors and Bank of America's Merrill Lynch have made similar announcements.
A UBS spokesman said Hatch and other executives were not available for comment. (Reporting by Jed Horowitz; Editing by Dan Grebler)