UBS is set to book an overall profit of Sfr7.7bn (€4.7bn) from a two-way deal it hatched with Julius Baer 18 months ago, after it confirmed it was selling its 20.7% stake in the private bank after a lock-up period lapsed.

UBS' stake in Julius Baer has almost doubled in value since the Swiss bank acquired it in December 2005. It is now valued at Sfr4.1bn at current market prices, meaning UBS is set to book a capital gain of Sfr2.1bn thanks to a rise in Julius Baer's share price.