Business Maverick: Credit Suisse Weighs New Job Cuts Round After Loss Warning

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Credit Suisse Group AG is weighing a fresh round of job cuts, part of a renewed push to slash costs after warning of a second-quarter loss, according to people familiar with the matter.

The Swiss bank is considering headcount reductions across divisions including investment banking and wealth management in multiple regions, the people said, asking not to be identified as the matter is private.

The bank warned it expects a third straight loss this quarter, driven by a slump at its investment banking and trading division. Credit Suisse pointed to widening credit spreads and client deleveraging amid volatile markets, though other banks have said the volatility has benefited their trading desks.

Thomas Gottstein, chief executive officer of Credit Suisse Group AG, during a Bloomberg Television interview at the company’s offices in London, U.K., on Thursday, Nov. 4, 2021. Credit Suisse said it will post a net loss in the fourth quarter on the back of a 1.6 billion-franc impairment tied to its restructuring, as charges and legal fees accompany its efforts to reboot strategy in the wake of a string of scandals.

 

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