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Credit Suisse is in free-fall. Down 83% in fixed income sales and trading. Down 95% in equities sales and trading. Down by half in M&A. On trial for cocaine de

Credit Suisse is in free-fall. Down 83% in fixed income sales and trading. Down 95% in equities sales and trading. Down by half in M&A. On trial for cocaine dealing. A bank losing all its income and going down in a criminal probe into a coke dealer. It'd be a good SNL skit if there weren't so many lives on the line. It's amazing a bonus pool exists at all.

uejfiweun 4y ago
Could they potentially collapse? Or are they too big to fail as well? Not sure how it works when it comes to non-US megabanks.
- toomuchtodo 4y ago
  Too Big To Fail. Swiss government will prop them up. https://www.reuters.com/business/finance/swiss-govt-proposes-public-liquidity-backstop-big-banks-2022-03-11/ https://www.reuters.com/business/finance/swiss-govt-proposes...
  - JumpCrisscross 4y ago
    > Swiss government will prop them up Unlikely. The article describes a lender-of-last-resort mechanism more than a bail-out [1]. It comports with the EU's ELA [2]. It's an exorbitant privilege, for sure, but not TBTF. [1] https://www.efd.admin.ch/efd/en/home/the-fdf/nsb-news_list.msg-id-87574.html https://www.efd.admin.ch/efd/en/home/the-fdf/nsb-news_list.m... [2] https://www.ecb.europa.eu/pub/pdf/other/ecb.agreementemergencyliquidityassistance202012~ba7c45c170.en.pdf?dca797da3212289956ac24df607eb168 https://www.ecb.europa.eu/pub/pdf/other/ecb.agreementemergen...
    - toomuchtodo 4y ago
      I will bet you an adult beverage of your choice if push comes to shove, they will rescue CS.
      - JumpCrisscross 4y ago
        > if push comes to shove, they will rescue CS Depends on the circumstances. If they manage to take someone else (read: UBS) down with them, probably. If they blow up on their lonesome, probably not.
      - esotericimpl 4y ago
        [dead]
- nik736 4y ago
  They will collapse sooner rather than later and the gov has to save them
- deleted 4y ago
  [deleted]
- dmurray 4y ago
  Collapse as a business, sure, but its portfolio probably won't go underwater. It's failing in a different way from a bank that takes on too many bad loans and can't fund its liabilities. A merger with UBS was mooted once. Now it looks more likely UBS is waiting for it to fall completely and pick up the good bits on the cheap.
akiselev 4y ago
> On trial for cocaine dealing. #1 rule of banking: never get high off your own supply.
moralestapia 4y ago
>On trial for cocaine dealing. https://www.reuters.com/business/finance/court-convicts-credit-suisse-money-laundering-case-2022-06-27/ https://www.reuters.com/business/finance/court-convicts-cred... "A former employee was found guilty of money-laundering in the trial, which included testimony on murders and cash stuffed into suitcases [...]" Whew!

uejfiweun 4y ago

Could they potentially collapse? Or are they too big to fail as well? Not sure how it works when it comes to non-US megabanks.

toomuchtodo 4y ago
Too Big To Fail. Swiss government will prop them up. https://www.reuters.com/business/finance/swiss-govt-proposes-public-liquidity-backstop-big-banks-2022-03-11/ https://www.reuters.com/business/finance/swiss-govt-proposes...
- JumpCrisscross 4y ago
  > Swiss government will prop them up Unlikely. The article describes a lender-of-last-resort mechanism more than a bail-out [1]. It comports with the EU's ELA [2]. It's an exorbitant privilege, for sure, but not TBTF. [1] https://www.efd.admin.ch/efd/en/home/the-fdf/nsb-news_list.msg-id-87574.html https://www.efd.admin.ch/efd/en/home/the-fdf/nsb-news_list.m... [2] https://www.ecb.europa.eu/pub/pdf/other/ecb.agreementemergencyliquidityassistance202012~ba7c45c170.en.pdf?dca797da3212289956ac24df607eb168 https://www.ecb.europa.eu/pub/pdf/other/ecb.agreementemergen...
  - toomuchtodo 4y ago
    I will bet you an adult beverage of your choice if push comes to shove, they will rescue CS.
    - JumpCrisscross 4y ago
      > if push comes to shove, they will rescue CS Depends on the circumstances. If they manage to take someone else (read: UBS) down with them, probably. If they blow up on their lonesome, probably not.
    - esotericimpl 4y ago
      [dead]
nik736 4y ago
They will collapse sooner rather than later and the gov has to save them
deleted 4y ago
[deleted]
dmurray 4y ago
Collapse as a business, sure, but its portfolio probably won't go underwater. It's failing in a different way from a bank that takes on too many bad loans and can't fund its liabilities. A merger with UBS was mooted once. Now it looks more likely UBS is waiting for it to fall completely and pick up the good bits on the cheap.

akiselev 4y ago

> On trial for cocaine dealing. #1 rule of banking: never get high off your own supply.

moralestapia 4y ago

>On trial for cocaine dealing. https://www.reuters.com/business/finance/court-convicts-credit-suisse-money-laundering-case-2022-06-27/ https://www.reuters.com/business/finance/court-convicts-cred... "A former employee was found guilty of money-laundering in the trial, which included testimony on murders and cash stuffed into suitcases [...]" Whew!