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The Markets
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Coverage of London’s small caps continues on proactiveinvestors.com
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The Markets
by Proactive
Proactive UK has moved.
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The Markets
by Proactive
Proactive UK has moved.
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Go to Proactive UK

Financial Services

Credit Suisse pays US$495mln to settle US case

It is an issue which has followed the bank for nearly 15 years

Credit Suisse shelled out US$495mln to settle a case related to mortgage-linked investments in the US.

The Swiss lender has been paying billions since the 2008 financial crash to resolve legal cases linked to its residential mortgage-backed securities (RMBS) business.

It is an issue which has followed the bank for nearly 15 years as it attempts to recover from a series of blunders that have damaged its reputation, including losing US$5bn from the collapse of investment firm Archegos last year.

Today’s announcement is the latest in a string of issues the bank has faced in recent weeks and months.

Credit Suisse spent the start of October battling rumours it was dealing with insolvency issues, with the bank needing to raise cash, buying back US$3bn of its own debt shortly after to settle some market fears.

The group is also rumoured to be looking at making cost savings elsewhere, reportedly cutting 5,000 jobs globally and looking to sell some of its assets, like the Savoy, its five-star hotel in the centre of Zurich.

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