C Suisse restructure is gaining traction

Tidjane Thiam

Halfway through Tidjane Thiam’s three-year restructuring plan, Credit Suisse is gaining traction.

Bloomberg News reports that the bank on Friday reported a 78 percent increase in second-quarter profit, to $312m, as clients added about 11 billion francs in new money to its main wealth management units.

Lower expenses lifted profit at the global markets trading business, still the biggest contributor to the top line, even as revenue declined because of low volatility.

Cross-town rival UBS, which also reported higher earnings Friday, suffered the biggest drop in six months, after its capital buffers took a hit following a regulatory review.

“It’s feeling good,” Thiam, Credit Suisse’s chief executive officer, said in an interview. “We believe all the things identified as key, we are delivering.”

Thiam, 54, has cut costs, eliminated thousands of jobs and sold down bad assets to reduce reliance on volatile debt trading in favor of more stable businesses such as wealth management. 

Hit the link below to access the complete Bloomberg News article:

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