Credit Suisse says that its Swiss Universal Bank division will go through a restructuring process with an aim to address the changed market environment and enable significant further growth.
The Swiss investment banking company also said the unit will be making significant investments to provide a basis to consolidate and grow its position as a Swiss universal bank and as a bank for entrepreneurs.
Going forward, retail and commercial clients of the Swiss unit, who mainly use core banking products, will be served by Direct Banking, a separate and newly created business area.
According to the investment banking group, a new, needs-oriented product and service offering will provide quicker and easier access to banking services in the future. The ‘Direct Banking’ business area will serve nearly a million retail clients and 60,000 commercial clients.
The new business area will have more than 500 employees.
Apart from the creation of Direct Banking, the investment banking unit will be moved out of the ‘Corporate & Investment Banking’ business area and will directly report to the CEO of Swiss Universal Bank.
This organisational change marks the importance of the M&A and capital markets business for the group and provides new opportunities for collaboration beyond the Swiss corporate clients business, said Credit Suisse.
Created in October 2015, the Swiss Universal Bank division is set to invest a three-digit million figure in its client business by the end of 2021. The investment will be mainly used in digitalisation, recruitment of additional employees in client advisory, and in marketing.
Credit Suisse (Switzerland) CEO comments on the restructuring
Swiss Universal Bank and Credit Suisse (Switzerland) CEO Thomas Gottstein said: “The new business area is our response to the significant changes in the market environment in recent years.
“Maintaining the status quo was not an option – not least because we believe that the achievement of long-term success will not depend on having the biggest branch network in the future. Instead, having the best digital offering – combined with access to advice from any location and the best service quality – will be the deciding factor.”
