Credit Suisse Outlook Revised To Negative On Concerns About The Group's Risk Management - S&P Global Ratings’ Credit Research

Credit Suisse Outlook Revised To Negative On Concerns About The Group's Risk Management

Credit Suisse Outlook Revised To Negative On Concerns About The Group's Risk Management - S&P Global Ratings’ Credit Research
Credit Suisse Outlook Revised To Negative On Concerns About The Group's Risk Management
Published Mar 30, 2021
4 pages (2033 words) — Published Mar 30, 2021
Price US$ 150.00  |  Buy this Report Now

About This Report

  
Abstract:

Earlier this week, Credit Suisse Group AG announced it may incur a material loss relating to prime brokerage exposures to a U.S. hedge fund that defaulted on margin calls. We believe Credit Suisse can manage potential financial losses due to its strong capitalization and robust underlying earnings, but the incident raises questions about the quality of risk management, the group's risk appetite, and adequacy of the risk return profile. We revised our outlooks on Credit Suisse group entities to negative from stable while affirming our 'A+/A-1' ratings on Credit Suisse AG and other core operating subsidiaries, and our 'BBB+' ratings on Credit Suisse Group AG. The negative outlooks on all entities reflect our view that potential material losses may stem

  
Brief Excerpt:

...March 30, 2021 - Earlier this week, Credit Suisse Group AG announced it may incur a material loss relating to prime brokerage exposures to a U.S. hedge fund that defaulted on margin calls. - We believe Credit Suisse can manage potential financial losses due to its strong capitalization and robust underlying earnings, but the incident raises questions about the quality of risk management, the group's risk appetite, and adequacy of the risk return profile. - We revised our outlooks on Credit Suisse group entities to negative from stable while affirming our 'A+/A-1' ratings on Credit Suisse AG and other core operating subsidiaries, and our '###+' ratings on Credit Suisse Group AG. - The negative outlooks on all entities reflect our view that potential material losses may stem from deficiencies in the group's risk management system or risk appetite that are not reflected in the current ratings. FRANKFURT (S&P Global Ratings) March 30, 2021--S&P Global Ratings revised its outlooks on all entities...

  
Report Type:

Ratings Action

Ticker
CSGN@VX
Issuer
Credit Suisse Group AG
GICS
Diversified Capital Markets (40203030)
Sector
Global Issuers, Public Finance, Structured Finance
Country
Switzerland
Region
United States
Format:
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "Credit Suisse Outlook Revised To Negative On Concerns About The Group's Risk Management" Mar 30, 2021. Alacra Store. May 12, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Credit-Suisse-Outlook-Revised-To-Negative-On-Concerns-About-The-Group-s-Risk-Management-2620184>
  
APA:
S&P Global Ratings’ Credit Research. (). Credit Suisse Outlook Revised To Negative On Concerns About The Group's Risk Management Mar 30, 2021. New York, NY: Alacra Store. Retrieved May 12, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Credit-Suisse-Outlook-Revised-To-Negative-On-Concerns-About-The-Group-s-Risk-Management-2620184>
  
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