UBS' Malta distributor unaffected by US deal

Switzerland's deal with the United States last week to reveal details of thousands of Americans holding offshore accounts at UBS does not affect the brand in Malta, its local representative told The Times Business.

Crystal Finance Investments has been selling UBS investment funds since inception in 2000.

"When we sell the products, we sell them under Maltese law," Crystal Finance Investments' Alfred Mifsud said. "What happened last week does not change anything (where our operation is concerned).

There was never any secrecy involved. The Malta operator, Crystal Finance, as a distributor of UBS products, distributes them under Maltese law (which provides for) withholding tax or full disclosure."

A week ago, Switzerland agreed to reveal the names of 4,450 high net worth Americans holding offshore accounts at UBS, its largest bank, in what the US hailed a victory in the clampdown on tax evasion. Internationally, it was perceived as having dealt a huge blow to Switzerland's famed bank secrecy.

Asked about how investors had responded to the UBS investment funds since the products were launched in Malta, Mr Mifsud said: "It is not always the same. In the beginning it was good. Lately people have tended to move out of funds and go into direct bonds and sometimes equity. That is the general phenomenon in today's market."

Crystal Finance Investments also distributes other financial products within its portfolio.