It’s been a really boring week for Credit Suisse. For the first time in Escher Bank’s history, stocks fell below 3 francs on Monday. It’s even under 2.70 francs on Thursday. Cheaper than ever. They were back at 2.95 CHF over the weekend. After 13 days with minus, there was a plus again.
Of course, the Credit Suisse crisis is not over yet. Uncertainty continues to be high. Because now it’s clear: The constant negative headlines and the brutal drop in share price are also making retirement advisors and pension fund managers look more closely.
Ueli Mettler, partner at pension fund consultancy c-alm, says the situation at Credit Suisse is definitely a problem for pension funds. “There is uncertainty,” he says, of the NZZ. No wonder: CS share price has dropped 65 percent since the start of the year. Client funds have evaporated. According to many experts, the big bank’s strategy is still not sharp enough.
“Don’t overreact”
Pension funds of course need to scrutinize this very closely to minimize risk for their clients. And now they seem to be doing it. “Against this background, pension funds are also evaluating Credit Suisse’s development and making investment decisions based on situational assessments,” says Mettler in the report.
Martin Janssen, on the other hand, is trying to calm down. He is the founder of pension fund consultancy Ecofin. And he tells the NZZ: “Retirement agencies should not overreact.” Financial market regulator Finma currently believes Credit Suisse will not go bankrupt.
The bank did not want to say whether the pension funds had withdrawn money from Credit Suisse. (be)