Credit Suisse Cuts Risk as Defections Mount in Wake of Scandals
- Firm severs SoftBank ties, stems withdrawals from RenTec Fund
- Its stock tumbled 14% this year, worst performance among peers
Photographer: Kiyoshi Ota/Bloomberg
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Credit Suisse Group AG is grappling with how to keep top bankers from fleeing to competitors and drastically reducing risk as new Chairman Antonio Horta-Osorio seeks to recover from a series of scandals.
The lender is cutting ties with SoftBank Group Corp., a backer to Lex Greensill’s collapsed supply-chain finance empire, and it’s temporarily barring clients from withdrawing all of their cash from a fund that invests with Renaissance Technologies after the strategy tanked and investors rushed for the exit.