Please try another search
© Reuters. FILE PHOTO: The slogan "Of course it works." is seen behind as CEO Andre Helfenstein of Credit Suisse (Schweiz) AG addresses a news conference in Zurich, Switzerland September 10, 2020. REUTERS/Arnd Wiegmann
ZURICH (Reuters) - The head of Credit Suisse's Swiss unit said "some customers have withdrawn some of their money, but very few have actually closed their accounts."
Last week, Switzerland's second-largest bank said it expects to make a pre-tax loss of up to 1.5 billion Swiss francs ($1.6 billion) during Q4 and revealed that wealthy clients had made hefty withdrawals, leading to a big drop in liquidity, breaching some regulatory limits.
The announcement sent the share price tumbling and led to the cost of insuring the debt of Credit Suisse against default rising.
"In our Swiss Bank division, client assets have stabilised, and we have lost a total of 1% of our asset base," said Andre Helfenstein in an interview published on Sunday with Swiss newspaper SonntagsZeitung.
A number of options have been floated as paths Credit Suisse may take to help it get it back on track. Helfenstein said splitting the Swiss business from the bank's international business was "absolutely not an option".
He also said a sale of the private client business and the asset management division was "not up for debate either".
As part of the restructuring plan Credit Suisse announced last month, the bank also said it would cut thousands of jobs by 2025, including 2,700 by the end of this year.
Helfenstein said the difficult year has had an impact on employee morale. "I wouldn't say demotivation, but rather a certain level of fatigue and sometimes frustration," he said.
($1 = 0.9453 Swiss francs)
Are you sure you want to block %USER_NAME%?
By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.
%USER_NAME% was successfully added to your Block List
Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.
I feel that this comment is:
Thank You!
Your report has been sent to our moderators for review
Add a Comment
We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
Enrich the conversation, don’t trash it.
Stay focused and on track. Only post material that’s relevant to the topic being discussed.
Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.