Swiss bank UBS was reeling from a boardroom rift today after Peter Wuffli, its 49-year-old chief executive, left abruptly after being turned down for the chairman's job despite the recommendation of the incumbent, Marcel Ospel.

Mr Wuffli leaves without a pay-off, although he will take 12 months' salary in lieu of his notice period.

His departure marks the latest ruction at the world's largest money manager for the wealthy and one of the top five international investment banks.

Late last week the UBS board of directors decided to veto Mr Wuffli's move from chief executive to chairman.

BACKGROUND

• Boardroom mutiny as a chairman is snubbed

• Wuffli goes as boardroom rift opens up at UBS

• UBS topples Goldman in half-time deals table

• Ospel nearly quits after protege not promoted

• Another top UBS banker quits

Silent UBS assassination augurs HSBC tie-up

On Thursday UBS announced another wrenching change, accompanied by another altogether improbable explanation

Related Internet Links

• UBS company information

• UBS share price chart

Related Links

• Tempus: Hung out to dry

• Wuffli: from humble reporter to bank chief

• The Board that voted him out

He had run UBS for the past four years.

Mr Ospel, 57, who himself moved from chief executive to chairman and lobbied for Mr Wuffli, will stay on for the next three years.

But as it annointed Marcel Rohner, 42, the former head of wealth management, as its new head, UBS delivered the rare public admission that the board had been divided over its succession strategy.

While Mr Rohner had been expected to replace Mr Wuffli, the move took investors by surprise.

Shares in UBS rose more than 1 per cent to SwFr75.5 as the prospect of a break-up or a spin-off for the investment bank was reignited.

UBS insisted that the board of directors was unanimous in backing Mr Ospel to remain and insisted that there would be no change of strategy.

It refused to go into detail about the decision-making process.

However, Stephan Haeringer and Marco Suter, the two executive vice-chairmen, are likely to have co-ordinated discussions.

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