© Reuters. FILE PHOTO: The slogan “After all it really works.” is seen behind as CEO Andre Helfenstein of Credit score Suisse (Schweiz) AG addresses a information convention in Zurich, Switzerland September 10, 2020. REUTERS/Arnd Wiegmann
ZURICH (Reuters) – The pinnacle of Credit score Suisse’s Swiss unit stated “some clients have withdrawn a few of their cash, however only a few have really closed their accounts.”
Final week, Switzerland’s second-largest financial institution stated it expects to make a pre-tax lack of as much as 1.5 billion Swiss francs ($1.6 billion) throughout This fall and revealed that rich shoppers had made hefty withdrawals, resulting in a giant drop in liquidity, breaching some regulatory limits.
The announcement despatched the share value tumbling and led to the price of insuring the debt of Credit score Suisse in opposition to default rising.
“In our Swiss Financial institution division, shopper property have stabilised, and now we have misplaced a complete of 1% of our asset base,” stated Andre Helfenstein in an interview revealed on Sunday with Swiss newspaper SonntagsZeitung.
A lot of choices have been floated as paths Credit score Suisse might take to assist it get it again on observe. Helfenstein stated splitting the Swiss enterprise from the financial institution’s worldwide enterprise was “completely not an choice”.
He additionally stated a sale of the non-public shopper enterprise and the asset administration division was “not up for debate both”.
As a part of the restructuring plan Credit score Suisse introduced final month, the financial institution additionally stated it could reduce hundreds of jobs by 2025, together with 2,700 by the tip of this yr.
Helfenstein stated the troublesome yr has had an impression on worker morale. “I would not say demotivation, however slightly a sure degree of fatigue and generally frustration,” he stated.
($1 = 0.9453 Swiss francs)
