Profits at UBS Global Asset Management, the Swiss bank's funds arm, rose 8% in the first quarter to Sfr404m (€245m) compared with a year ago, as net outflows from equity funds were offset by money coming into the manager's fixed income, alternative and quantitative investments.

UBS said it had suffered some underperformance in equity funds and its US and UK 130/30 strategies also came in under target. However, stock selection was better in Asian, Australian, emerging markets and small caps strategies.