The bank cited the “adverse impact” of a “challenging macro and geopolitical environment with market uncertainty and client risk aversion.”
Affluent clients withdrew some CHF123.2 billion of assets from the bank over the course of 2022, pushing the total amounts of assets under management to CHF1.294 trillion – a drop of almost 20%.
Assets managed by the bank’s wealth management business declined 27% from CHF743 billion at the end of 2021 to CHF540 billion last year.
The performance of Credit Suisse’s wealth management business is seen as a key indicator of the bank’s overall health.
Credit Suisse warned that restructuring costs will likely lead to further losses in 2023.
Switzerland’s second largest bank announced a major restructuring drive last October, slashing 9,000 jobs and some of its riskier trading units.
Executives promised to turn around the bank’s fortunes with a renewed focus on its wealth management and domestic facing businesses.
At the same time, Credit Suisse tapped into the financial markets to raise CHF4 billion in fresh capital, mainly from the Middle East.
This follows several years of scandals that have seen significant trading losses, damaging legal cases, a huge leak of client data and several top managers step down.
The most damaging setbacks for its business performance were the billions lost from links to the collapsed Greensill Capital and Archegos Capital Management financial schemes.
This has led to an ongoing overhaul of the bank’s risk culture, which was blamed for ignoring warning signs.
Popular Stories
More
Foreign affairs
European nations snub Swiss-made weapons over Ukraine restrictions
What do you think Switzerland’s Alain Berset can bring to the Council of Europe?
The former interior minister is to become the first Swiss Secretary General of the Council of Europe – which issues should his five-year term focus on?
Swiss air traffic control upgrade slows tempo for safety reasons
This content was published on
The upgrade of Switzerland’s air traffic control system will take longer than anticipated following a series of malfunctions.
Switzerland remains ‘world’s most innovative country’
This content was published on
Switzerland remains the world's most innovative country, still ahead of Sweden and the US on the WIPO Global Innovation Index.
Credit Suisse turns to petrodollars to fund turnaround
This content was published on
Credit Suisse has returned to the Middle East to shore up its finances amid mounting losses and a deteriorating balance sheet.
This content was published on
Credit Suisse is “definitely stable”, according to Chairman Axel Lehmann. He said the bank had seen a stabilisation in client outflows.
Credit Suisse says only a few customers are closing accounts
This content was published on
The head of Credit Suisse’s Swiss division says that only a few clients are actually closing accounts at the troubled bank.
Swiss finance minister backs Credit Suisse to recover
This content was published on
Swiss Finance Minister Ueli Maurer believes troubled Credit Suisse bank can battle back from a string of scandals and trading losses.
Media report: Credit Suisse Greensill loan relied on questionable collateral
This content was published on
The Financial Times writes that Credit Suisse accepted “suspicious invoices” as collateral for a $140 million loan to Greensill Capital in 2020.
You can find an overview of ongoing debates with our journalists here . Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.