UBS is beginning to untangle a strategic direction for its US wealth management unit, now that a new leader is in place. Appointed two weeks ago, former Merrill Lynch brokerage head Robert McCann has shown a threefold strategy: stop throwing buckets of money at new recruits; focus on retention; and stake a claim somewhere between mid-size firms and the biggest wirehouses.

His challenges are to quickly stanch client money outflows and put a shine back on UBS' reputation for financial advice, tarnished by the Swiss banking scandal. He also must combat persistent rumours -- ones that he and other executives deny -- that the parent company may sell or spin off the US wealth management unit.