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“UBS Group AG Chairman Colm Kelleher said he will rein in Credit Suisse Group AG’s investment bank, a unit that has racked up losses in recent years. “Let me b

“UBS Group AG Chairman Colm Kelleher said he will rein in Credit Suisse Group AG’s investment bank, a unit that has racked up losses in recent years. “Let me be very specific on this: UBS intends to downsize Credit Suisse’s investment banking business and align it with our conservative risk culture,” Kelleher said Sunday at a press conference announcing the deal.” — https://www.bloomberg.com/news/articles/2023-03-19/ubs-s-chairman-vows-to-shrink-credit-suisse-s-investment-bank https://www.bloomberg.com/news/articles/2023-03-19/ubs-s-cha... Oof. Sounds like a lot of CS investment bankers are going to be out of a job soon.

jeffrallen 4y ago
If keeping your job in investment banking had anything to do with not losing enormous sums of money, they would have already lost their jobs long ago.
- elliotec 4y ago
  Yeah but the key word here is “downsize” - there will be layoffs.
  - weard_beard 4y ago
    But will they close the positions? Let’s be clear. The investing arm of CS isn’t suffering from too many middle managers or bloated salaries. They lent money to profligate gamblers. It’s speculated their losses could be in the hundreds of billions. Closing out those positions could sway the fortunes of American blue chip stocks and publicly traded companies around the world. Closing CS’s trading arm could reshape the entire US stock market over night.
    - ganoushoreilly 4y ago
      Is it time for the Archegos Tranche of swaps to finally come due? That's been the rumor and if the rumors are close, you're right, it's going to be a doozy.
    - elliotec 4y ago
      > But will they close the positions? Yes. There will be hundreds to thousands of job losses, for sure. > Closing CS’s trading arm could reshape the entire US trading arm over night. Yes, it could and it will. This is one of those things where we can try to tell one another to be prepared, but how?
      - weard_beard 4y ago
        I didn’t mean job positions. I meant their exposure to long term derivatives called swaps. Their positions in relation to stocks. I see how my comment could be taken either way though!
baxtr 4y ago
“Oof”? Do you feel sorry for these guys?
- mhh__ 4y ago
  Hate the leadership feel bad for the excel grunts.
throwaway5959 4y ago
Working for CS is like being a contractor on the Death Star. They knew the risks.
- ethbr0 4y ago
  Because there's a part of HN too young to appreciate your comment, it's a reference to a debate in Clerks about independent contractors working on the Death Star II: https://m.youtube.com/watch?v=iQdDRrcAOjA https://m.youtube.com/watch?v=iQdDRrcAOjA
raverbashing 4y ago
> Sounds like a lot of CS investment bankers are going to be out of a job soon. Then maybe don't fall for almost-obvious scams like Archegos

jeffrallen 4y ago

If keeping your job in investment banking had anything to do with not losing enormous sums of money, they would have already lost their jobs long ago.

elliotec 4y ago
Yeah but the key word here is “downsize” - there will be layoffs.
- weard_beard 4y ago
  But will they close the positions? Let’s be clear. The investing arm of CS isn’t suffering from too many middle managers or bloated salaries. They lent money to profligate gamblers. It’s speculated their losses could be in the hundreds of billions. Closing out those positions could sway the fortunes of American blue chip stocks and publicly traded companies around the world. Closing CS’s trading arm could reshape the entire US stock market over night.
  - ganoushoreilly 4y ago
    Is it time for the Archegos Tranche of swaps to finally come due? That's been the rumor and if the rumors are close, you're right, it's going to be a doozy.
  - elliotec 4y ago
    > But will they close the positions? Yes. There will be hundreds to thousands of job losses, for sure. > Closing CS’s trading arm could reshape the entire US trading arm over night. Yes, it could and it will. This is one of those things where we can try to tell one another to be prepared, but how?
    - weard_beard 4y ago
      I didn’t mean job positions. I meant their exposure to long term derivatives called swaps. Their positions in relation to stocks. I see how my comment could be taken either way though!

baxtr 4y ago

“Oof”? Do you feel sorry for these guys?

mhh__ 4y ago
Hate the leadership feel bad for the excel grunts.

throwaway5959 4y ago

Working for CS is like being a contractor on the Death Star. They knew the risks.

ethbr0 4y ago
Because there's a part of HN too young to appreciate your comment, it's a reference to a debate in Clerks about independent contractors working on the Death Star II: https://m.youtube.com/watch?v=iQdDRrcAOjA https://m.youtube.com/watch?v=iQdDRrcAOjA

raverbashing 4y ago

> Sounds like a lot of CS investment bankers are going to be out of a job soon. Then maybe don't fall for almost-obvious scams like Archegos