Credit Suisse deals a liberating blow, but not a direct hit. When the CS leadership speaks of “radical restructuring,” it may be true from their point of view. The liquidation of the investment bank, the focus on asset management and Swiss business are steps in the right direction. To overcome the deep crisis, the bank had to act even more radically. The plans of the CS bosses are ruined in the stock market, the stock falls again.
Problem: Too many question marks left! For example, it is unclear how the bank finally wants to make money again. Simply reducing costs is not a strategy for a profitable future. Implementation of the strategy in the coming years will be a difficult road with many obstacles – CS can no longer afford to make mistakes. Why does the bank want to be included in CS First Boston? A full exit would make sense here.
And finally, the question remains why the bank should start looking for capital again in the Middle East. Are there no investors in Europe or the US willing to help troubled CS get back on its feet?
A Qatari state fund and a Saudi Arabian-based investment company are among the largest shareholders in the Swiss bank.
With the involvement of the Saudi National Bank, the Arab share can reach up to 20 percent. CS should be careful not to be perceived as a Middle Eastern bank. At the presentation of the new strategy in London, CS Chairman Axel Lehmann said the bank wants to go back to its roots. But these roots are still in Switzerland, despite all the money from the Middle East. On behalf of Switzerland creates international trust. Credit Suisse should never forget this!