UBS under investigation by SEC for Libor fixing

UBS is being investigated by US regulators for allegedly manipulating Libor, the rate at which banks lend to each other.

UBS says is has received subpoenas from the Securities Exchange Commission (SEC), Commodity Futures Trading Commission and Department of Justice, the BBC reports.

These refer to submissions the bank made to the British Bankers' Association (BBA), which sets the Libor rate.

UBS says it is conducting an internal review into the allegations.

"UBS understands the investigations focus on whether there were improper attempts by UBS, either acting on its own or together with others, to manipulate Libor rates at certain times," the bank said in its annual report published on Tuesday.

Libor, or London interbank offered rate, is recognised globally as the benchmark rate at which banks lend to other banks.

"We are committed to retaining the reputation and integrity of Libor," the BBA says.

"We observe rigorous standards in our scrutiny and governance of the Libor mechanism, and work with the industry to ensure their continued full confidence in one of its most accurate and reliable benchmarks."