Credit Suisse is changing the way it work with billionaires
Credit Suisse Bank announced its desire to rethink its approach to work in one of the most profitable sectors of its activity — lending to entrepreneurs and billionaires. The new CEO Thomas Gotstein is working on the innovations.
Credit Suisse is the second largest Swiss bank. Changes in its work will affect clients whose loans are secured by hard-to-sell assets. The bank will also change the principles for assessing the creditworthiness of companies involved in the oil and gas industry and shipping.
A spokesman for Credit Suisse said that the bank continues to adhere to its previous strategy of sustainable growth, but in order to maintain it unchanged, it will need to revise and improve its business model.
In general, the bank’s desire is understandable. In the first quarter, it missed $1 billion due to poor quality loans, as well as loss of asset value. Iqbal Khan, former head of asset management, ran a rather aggressive lending campaign to increase the number of wealthy clients before crossing over to a competitor in the UBS Group.