Strict bank secrecy rules and confidentiality agreements for UBS bank customers have often been used to avoid, circumvent or evade other foreign direct taxes. UBS entered into multilateral agreements with the U.S. Internal Revenue Service (IRS) and U.K. HM Revenue and Customs in 2009 and 2010 respectively.  These agreements provided a line of communication between the tax authorities and all registered Swiss banks.  The provision most commonly used by selected UBS Switzerland AG clients provides for the following statutes: Swiss banks can only disclose customer information if a client is legally accused of wilful financial fraud and not only the non-reporting of assets for the purpose of tax evasion.  UBS was founded in 1862 as a bank in Winterthur, in addition to the emergence of the Swiss banking sector. In the 1890s, the Swiss Banking Corporation (SBC) was established and formed a private banking syndicate, reinforced by Switzerland`s international neutrality. In 1912, Winterthur`s bank merged with Toggenburger Bank into the Union Bank of Switzerland (UBS) and grew rapidly after the banking law of 1934 codified Swiss banking secrecy.
After decades of market competition between SBC and UBS, the two companies merged in 1998 into a single entity known as UBS. [nb 3] In the early 2000s, the equal rise of UBS and Credit Suisse established a legally sanctioned oligopoly in the Swiss private market. After posting heavy losses during the 2008 financial crisis with an asset recovery program, UBS was hit in 2011 by the dishonest traders scandal, which resulted in a loss of $2 billion. In 2012, the bank reoriented itself to asset management consulting and limited its sales activities. UBS Global Wealth Management Advisory Operations in Usa consists of U.S. and Canadian asset management operations as well as U.S.-only international transactions UBS Wealth Management in the United States is a source of activity for former brokerage Company Paine Webber. The company was renamed UBS Paine Webber in March 2001, after being acquired by UBS. The industry offers a fully integrated set of asset management consulting solutions for clients and high net worth clients with extremely high assets.  UBS was named „Best Bank for Wealth Management in North America“ at the 2017 Euromoney Awards for Excellence.  In February 2017, UBS Group AG and Northern Trust Corporation, an international financial services company in the United States, announced an agreement to acquire UBS Asset Management`s fund management units in Luxembourg and Switzerland.
This acquisition will facilitate Northern Trust Corporation`s expansion into both countries, making the U.S. company the leading local market fund manager and one of the top ten global industry leaders. At the end of the transaction, which was completed in October 2017, the U.S. company will manage a total of 420 billion assets.