UBS maintains a “buy” rating on Barclays and says revenues in the investment bank are set to grow as newer businesses start to deliver. The sharp negative reaction to Barclays’ trading update last month was on a weaker revenue performance than expected but UBS says the lower revenue was counterbalanced by lower costs. It remains comfortable with Barclays’ story.

JP Morgan Cazenove reiterates an “overweight” rating on Swiss Re for three reasons: results show the insurer is fully on track to return to an AA level rating in 2011, the legacy exposures are manageable and valuation has been rising every quarter since last year. JP Morgan says Swiss Re’s earnings outlook is stronger due to better underlying non-life combined ratio.

Citi says it believes BNP Paribas’ universal bank model offers business diversification and growth potential, while reiterating a “buy” recommendation and a target price of €65 (£56). Citi says that BNP Paribas has disclosed €5bn of Greek sovereign exposure but says assuming a 50 per cent cut would suggest a four per cent tangible book value hit.