Major franchises in private banking, investment banking, asset management, and Swiss retail and corporate banking; Strong profitability of capital-light businesses; and Good capitalization and asset quality to benefit further from the divestment of Winterthur Group. Above-average profit volatility; Underperforming investment bank; Relatively little group integration; and Significant exposure to capital-market levels and activity. The ratings on Credit Suisse Group (CSG) reflect the combination of strong franchises in core group activities including private banking, investment banking, and Swiss domestic banking; strong profitability; good capitalization; and sound asset quality. The ratings also reflect CSG's above-average profit volatility, the underperformance of CSG's investment bank in recent years, and the fact that CSG has yet to exploit fully the synergies between business units--although major
