Credit Suisse replaced officials after reporting major losses from archaeologists.

Credit Suisse said on Tuesday that it would replace its investment bank chief and head of risk and that its inclusion would lead to compliance after the loss Archaeos Capital management, demolished hedge fund, totaling $ 5 billion.

The Zurich-based bank is in turmoil after a series of disasters that have damaged its reputation and are likely to reduce its global dominance. Credit Suisse also serves as a warning of the risks that can lurk in the financial system, as bankers and investors try to earn returns when the rock rate is high and the stock value is already low.

Credit Suisse on Tuesday detailed the financial impact of its dealings with archaeologists for the first time, saying it would report losses for the first quarter of 900 million Swiss francs after booking a charge of 4.4 billion francs, or $ 4.7 billion. Fund. The losses were more than a few estimates.

Brian ChinThe bank said the chief executive of Credit Suisse’s investment bank will leave on April 30. Lara Warner, Chief Risk and Compliance Officer, will step down immediately.

The bank said that members of Credit Suisse’s executive board would withdraw their bonuses for 2020 and 2021. Credit Suisse will also cancel plans to buy back its own shares, a way to raise the share price. But the bank sought to address any questions about its overall health, saying its capital was still at acceptable levels.

Credit Suisse shares were down more than 2 percent in Zurich Trading early Tuesday. They have lost one-quarter of their value since early March.

Since last year Credit Suisse chief executive Thomas Gottstein said the bank would appoint outside experts to investigate what the bank’s involvement was, along with “unacceptable” losses from archaeologists. Greensil capital, Which collapsed last month.

Credit Suisse’s asset management unit invested $ 10 billion in the fund, which was packaged based on financing provided by Greensill to companies, many of which had low credit ratings.

“Serious lessons will be learned,” Mr. Gottstein said.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *