Credit Suisse clients pulled out CHF61.2 billion ($68.5 billion) of their assets in the first three months of the year as they rushed to leave the collapsing bank.
This content was published on
2 minutes
When not covering fintech, cryptocurrencies, blockchain, banks and trade, swissinfo.ch's business correspondent can be found playing cricket on various grounds in Switzerland - including the frozen lake of St Moritz.
This comes on top of the CHF110 billion of withdrawals in the last quarter of 2022, reducing assets managed by the bank from CHF1.56 trillion to CHF1.25 trillion in the space of 12 months.
Clients at the bank’s flagship wealth management unit stampeded for the exit in the first quarter of this year, taking CHF47 billion in assets to other banks.
The takeover is expected to be complete in the coming weeks, making it likely that this is the last time Credit Suisse reports quarterly results as an independent company.
Credit Suisse made a nominal profit of CHF12.8 billion in the first three months of 2022 but this was only achieved by the financial regulator writing off bonds worth CHF15 billion.
The controversial bond write-off is subject to several potential lawsuits that will challenge the legality of the move.
Credit Suisse posted a CHF1.3 billion pre-tax loss in the first quarter of the year, excluding the result of the one-off bond write-off.
Switzerland’s second-largest bank had earlier this year reported a massive CHF7.3 billion loss for the whole of 2022.
Credit Suisse said on Monday that it had slashed staff numbers 9% from the 52,000 headcount last autumn when it announced a major restructuring plan. Costs have been cut 6% year-on-year as a result of the drive.
But plans to spin off parts of its investment banking operations have been put on hold since the UBS takeover was agreed.
Popular Stories
More
Swiss Politics
Why cars still reign supreme in ‘rail-nation’ Switzerland
Swiss central banker wants to boost equity to head off risks
This content was published on
Equity levels at the Swiss National Bank (SNB) are much too low for the risks its large balance sheet poses, according to Martin Schlegel.
Beer sales in Switzerland watered down by bad weather
This content was published on
The past brewing year fell through in Switzerland, partly due to the bad weather. Beer sales shrank again. For the first time, per capita consumption fell below the 50 liter mark.
Compensation for Syrian after pregnant wife denied help on Swiss train
This content was published on
Switzerland’s Federal Court has partially upheld the appeal of a Syrian family being deported from Switzerland to Italy in 2014. The man now also receives compensation.
Swiss-EU negotiations: Cassis to meet Sefcovic in Bern
This content was published on
Swiss Foreign Minister Ignazio Cassis will meet the Vice-President of the EU Commission, Maros Sefcovic, in Bern on Wednesday.
US authorities give green light to UBS takeover of Credit Suisse
This content was published on
The Federal Reserve approved on Friday the US side of the buyout, clearing another major hurdle for the completion of the deal.
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.