ZURICH, Aug 30 — Credit Suisse said it will reduce the volume of new markets business from September 22 while UBS integrates its former rival, the bank said in a letter sent to clients, as the 166-year-old firm winds down trading in global securities.
Increases in positions, or maturity extensions, will now not be possible for clients at Credit Suisse, which trades a wide variety of assets from stocks to currencies.
Existing positions will continue to be serviced and flows to Global Wealth Management and the Swiss bank remain unaffected.
“Going forward, UBS shall focus on consolidating new client activity through UBS legal entities,” the letter seen by Reuters today said.
The move is a further step along UBS’s tricky path to absorbing its fallen rival in the first-ever merger of two global systematically important banks.
Holding onto existing Credit Suisse clients will be key to the Swiss giant being able to successfully carry out the integration.
UBS will report its second-quarter earnings tomorrow, its first results since taking over Credit Suisse earlier this year. — Reuters
