Credit Suisse’s turnaround just got a lot tougher as market reels

  • 📰 rapplerdotcom
  • ⏱ Reading Time:
  • 17 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 10%
  • Publisher: 86%

South Africa News News

South Africa South Africa Latest News,South Africa South Africa Headlines

Credit Suisse's ability to extract good terms from potential buyers of businesses it wants to exit has been weakened by the market rout, analysts say.

“The issue Credit Suisse runs into is that it almost becomes a self-fulfilling prophecy, not so much from a liquidity perspective, but their star talents start to leave or the rich people start pulling their money out of the private bank and then the business fundamentals begin to decline,” said James Finch, clinical associate professor of finance at New York University Stern School of Business.

There are also concerns of possible further outflows from the private banking business, analysts at Citigroup wrote in a note to clients on Monday. In his note, Beaumont pointed to various measures of Credit Suisse’s capital levels, saying it seemed to be “sufficient to absorb upcoming losses from divestments/asset sales.”

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 4. in ZA

South Africa South Africa Latest News, South Africa South Africa Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

BSP vows to continue addressing financial market disruptionsThe Bangko Sentral ng Pilipinas (BSP) is urging market players to remain responsible amidst the latest developments in the financial market since volatilities are causing currencies, among others, …
Source: EdgeDavao - 🏆 23. / 51 Read more »