Swiss investment bank UBS is facing pressure of breaking up the business. It can be recalled that UBS wrote than GBP 9.6 billion in credit crunch-related losses in the first quarter of the year.

Former UBS chairman Luqman Arnold has started a shareholder campaign to break up the group. He is opposed to the internal appointment of Peter Kurer to the position of executive chairman this week after the resignation of Chairman of the Board of Directors Marcel Ospel. Arnold is also remembered for his several attempts to acquire Northern Rock through his investment company Olivant.

Arnold has always asserted that the disposal of the bank's fund management division and its Australian and Brazilian subsidiaries would not hurt the core business of the group. He believes that UBS should restore its capital position by selling its assets.

UBS has already confirmed that it has received the letter that Olivant sent and that it will be replying in due course.

Currently, Olivant holds a 0.7 percent stake in UBS it has acquired recently. If you enjoy reading this article, you'll surely be interested in learning how to open a Swiss bank account.