HSBC Holdings and UBS Group both reported stronger-than-expected quarterly profits this week, but UBS is facing a $125 million fine from U.S. regulators for anti-money-laundering failures. HSBC's first-half profit rose 23% to $19.5 billion, beating the $18.9 billion analysts expected, and it resumed its buyback with a plan of up to $1 billion after pausing for three quarters to fund its Hang Seng Bank takeover. UBS's second-quarter net profit rose 17% to $2.8 billion, beating the $2.39 billion analysts expected, and it announced a new $3 billion buyback program. However, UBS was fined $125 million by U.S. regulators just two days before this comparison, the largest-ever civil fine against a broker-dealer under the main U.S. anti-money-laundering law, and a repeat offense after a smaller 2018 penalty for similar failures. Hedge fund data from Insider Monkey shows HSBC had 18 hedge fund holders as of Q1 2026, down from 25 the quarter before, while UBS had 37 holders, down from 39, indicating hedge funds are more bullish on UBS.
HSBC Holdings PLCHSBC beat profit expectations and resumed buyback with up to $1 billion.
UBS Group AGUBS fined $125 million for anti-money-laundering failures, a repeat offense.
