Paul Donovan, UBS’s chief economist, commented on mainland inflation and African swine fever when talking about “Chinese pigs” causing resentment from many Chinese brokers. First, it was criticized by the Hong Kong Chinese Securities Industry Association (HKCSA), and Haitong International (0665), the president of Lin Yong, who was the chief executive, also cut off the business with UBS.
The reporter of “Yu Shi News” was informed by the relevant person that Paul Donovan, who was suspected of using insulting words when referring to China in the report, will be suspended from all work and investigated.
The China Securities Association has listed Paul Donovan as an unwelcome person. It is recommended that member units do not quote their research views and do not invite them to participate in related activities. UBS Group is required to take effective measures to eliminate adverse effects, strengthen the management and compliance review of the publication of research reports, eliminate similar problems, and avoid affecting the Group’s normal business operations in China.
Alleged speech has discriminatory remarks
Recently, the mainland announced that the inflation rate in May was 2.7%, which pushed up inflation because of the pig-like price affected by African pigs. Paul Donovan commented on the level of inflation in the Mainland, pointing out that swine fever is one of the reasons for pushing up inflation. He also pointed out that if you are a pig in China, it has a relationship, or if you like to eat Chinese pork, there is a problem.
After the announcement of the remarks, there was an uproar in the Chinese financial professionals, and the speech was “disturbing and racially discriminating.” The official media “Global Times” also pointed out that the wording of the UBS report made Internet users very angry.
UBS apologizes again for the incident
In this case, UBS pointed out to Reuters that apologize for any misunderstanding caused by Paul Donovan’s remarks and has deleted the relevant audio commentary, pointing out that the commentary points out that pork prices have risen, leading to inflation and Chinese consumer prices. rise.
The bank pointed out that internal procedures are being strengthened to prevent similar incidents from happening again, and will be committed to investing in the Mainland.
However, Chinese brokers still have a great response to the incident. In addition to the decision of Lin Yong’s personal WeChat account to announce that the company does not cooperate with UBS, Haitong employees pointed out to Reuters that the decision was announced in the employee’s internal mail.