BASEL, Switzerland (
) -- Shares of Swiss bank
rose about 4% Monday after the company appointed Sergio Ermotti as interim CEO after a $2.3 billion rogue trading loss forced the resignation of
over the weekend.
Ermotti joined UBS in April as head of UBS Europe, Middle East and Africa.
Swiss newspapers Monday suggested Ermotti was the favorite to win the CEO job on a permanent basis.
The UBS board on Saturday said it would continue its internal and external searches for a permanent CEO. Before the
, there was speculation that UBS was grooming Ermotti to succeed Gruebel.
"Ermotti is not the most risk averse -- he used to make some big trades (at Merrill Lynch.) But he does know how to manage risk," said a Geneva-based investment adviser who has worked with Ermotti,
reported. "He has the experience and he's motivated."
Ermotti worked at
for 16 years before joining Italy's
-- Written by Joseph Woelfel
>To contact the writer of this article, click here:
>To submit a news tip, send an email to:
Copyright 2011 TheStreet.com Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. AP contributed to this report.