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Credit Suisse

Global investment bank based in Switzerland.

Credit Suisse, founded in 1856, offers investment banking, private banking, and asset management services. It played a significant role in funding Switzerland's rail system and electrical grid. The bank faced challenges post-global financial crisis, including international investigations for tax avoidance. In 2023, UBS acquired Credit Suisse to prevent its collapse.

Related

Citigroup Goldman Sachs Morgan Stanley UBS Group AG J.P. Morgan & Co.Global Financial Crisis European Debt Crisis Asian Financial Crisis Hedge Fund HSBC

Timeline

Alfred Escher establishes Credit Suisse

In 1848, Alfred Escher founded Credit Suisse, a prominent Swiss financial institution.

Founding of Schweizerische Kreditanstalt

On July 5, 1856, Alfred Escher established Schweizerische Kreditanstalt (SKA) with the aim of financing Switzerland's railroad network expansion and industrialization.

Schweizerische Kreditanstalt (SKA) Founded

Alfred Escher founded Schweizerische Kreditanstalt (SKA), which later became Credit Suisse, on July 16, 1856. He served as the first Chairman of the Board of Directors during two separate periods.

Introduction of Calculating Machine at SKA

In 1904, the Swiss bank SKA introduced a calculating machine, which revolutionized the way financial calculations were done within the bank.

Opening of First Branch Outside Zurich in Basel

In 1905, Credit Suisse expanded its presence by opening its first branch outside Zurich in Basel after acquiring Oberrheinische Bank.

Great Depression Crisis and SKA's Resilience

During the Great Depression of 1931, SKA (Schweizerische Kreditanstalt) defied the storm of the financial markets while many other Swiss banks faced precarious situations. SKA emerged stronger from the crisis, benefiting from significant open and hidden reserves on its balance sheet.

Establishment of direct telex connection with New York

In 1951, Credit Suisse became the first large Swiss bank to establish a direct telex connection with New York, showcasing its commitment to innovation and technological advancement.

Opening of the first drive-in bank in Switzerland

In 1962, Credit Suisse opened the first drive-in bank in Switzerland, further solidifying its position as a pioneer in the banking industry by introducing convenient banking services.

Fake names for Ferdinand and Imelda Marcos

Credit Suisse is implicated in helping to store some of the estimated $5bn-$10bn that the Philippine dictator Ferdinand Marcos and his wife, Imelda, stole from the country during his three terms as president. Credit Suisse opened accounts for the couple under fake names to shield their funds from scrutiny.

SKA's Transformation into Credit Suisse and International Expansion

In 1988, Schweizerische Kreditanstalt (SKA) changed its name to Credit Suisse and shifted its focus to becoming an international banking group based in Switzerland. This transformation marked a significant milestone in the bank's history, paving the way for global expansion.

Merger with CS First Boston

In 1990, Credit Suisse merged with the US investment bank CS First Boston, marking a significant milestone in its growth through acquisitions.

Acquisition of Neue Aargauer Bank (NAB)

In 1996, Credit Suisse Group acquired Neue Aargauer Bank (NAB), expanding its presence in the banking sector.

Merger of Credit Suisse Group with Winterthur

In 1997, Credit Suisse Group merged with Winterthur Group, forming a strategic alliance that led to the creation of a stronger financial entity.

Credit Suisse pioneers the offering of discount brokerage services through 'youtrade,' becoming the first Swiss bank to provide this service online or via telephone.

Banking funds linked to a Nigerian dictator

Switzerland’s Federal Banking Commission reprimanded Credit Suisse for accepting about $214m-worth of funds linked to corruption by the Nigerian military dictator Sani Abacha in the 1990s. Credit Suisse was criticized for failing to recognize the political exposure of Abacha's sons.

One Bank Strategy Implementation

Credit Suisse merges its Swiss bank legal entities, Credit Suisse and Credit Suisse First Boston, as part of its One Bank strategy.

150th Anniversary Celebration and Integration

Credit Suisse celebrates its 150th anniversary and divests Winterthur insurance company to AXA. It transforms into an integrated global bank and introduces a new logo.

Merger of Credit Suisse private banks

In 2007, Credit Suisse merged four independent private banks, Clariden Bank, Bank Leu, Bank Hofmann, and Banca di Gestione Patrimoniale, along with the securities trading company Credit Suisse Fides to create Clariden Leu.

Credit Suisse's Response to the 2008 Financial Crisis

During the 2008 financial crisis, Credit Suisse fared comparatively well compared to other banks. While some banks downsized their investment departments, Credit Suisse expanded its risky business under investment banker Brady Dougan, positioning itself for growth amidst the crisis.

US sanctions breaches

Credit Suisse was fined $536m for deliberately circumventing US sanctions against countries including Iran and Sudan between 1995 and 2007. The bank stated that it had enhanced its procedures and was taking internal action.

Acquisition of Morgan Stanley's Wealth Management Businesses

In 2013, Credit Suisse acquired Morgan Stanley's wealth management businesses in Europe, Middle East, and Africa, strengthening its presence in these regions.

Credit Suisse investigation in Hong Kong regarding 1MDB

In September 2015, Hong Kong police initiated investigations into $250 million in Credit Suisse branch deposits in Hong Kong connected to former Malaysia's Prime Minister Najib Razak and Malaysian sovereign wealth fund 1MDB.

Patrice Lescaudron sentenced for fraud

In 2018, former Credit Suisse star banker Patrice Lescaudron was sentenced to five years in prison for committing a long-running fraud by abusing the trust of clients and implementing a fraudulent scheme that earned him tens of millions of francs.

Credit Suisse Chief Executive Tidjane Thiam's Resignation

Tidjane Thiam's five-year tenure as Credit Suisse's Chief Executive ended abruptly after an investigation revealed the bank hired private detectives to spy on its former head of wealth management. The spying scandal led to Thiam's resignation.

End of Support for TLS 1.0 and 1.1

Credit Suisse announces the discontinuation of support for TLS versions 1.0 and 1.1 starting from March 1, 2021, due to security concerns. Users are advised to upgrade their browsers to newer, more secure versions to access the website.

Axel Lehmann becomes Chairman of Credit Suisse

On January 17, 2022, Axel Lehmann was appointed as the new Chairman of Credit Suisse. This appointment followed the resignation of Antonio Horta Osorio.

Drug Money Laundering Scandal

On February 7, 2022, Credit Suisse faced a criminal trial in Switzerland for allowing a Bulgarian cocaine trafficking gang to launder millions of Euros. The bank and a former employee were found guilty by the Federal Criminal Court.

Credit Suisse delays annual report due to SEC inquiry

On March 8, 2022, Credit Suisse postponed the release of its annual report after receiving inquiries from the U.S. Securities and Exchange Commission regarding revisions to cash flow statements from 2019 and 2020, as well as related controls.

Credit Suisse Annual Report Release and Financial Weaknesses

Credit Suisse released its annual report admitting to 'material weaknesses' in financial controls and announced the end of board bonuses. This news exacerbated existing market fragility due to failures in American regional lenders.

Swiss National Bank's Liquidity Lifeline to Credit Suisse

Credit Suisse shares rebounded after the Swiss National Bank provided a CHF50 billion liquidity lifeline. While addressing short-term capital concerns, the question of retaining clients remained unanswered.

Credit Suisse faces significant outflows

Credit Suisse experiences daily outflows of about $10 billion, leading to concerns about its financial stability.

UBS brokers takeover of Credit Suisse

UBS, along with the Swiss National Bank and Finma, facilitates a takeover of Credit Suisse to stabilize Switzerland's financial system after confidence in the bank wanes.

UBS acquires Credit Suisse

UBS agrees to acquire Credit Suisse for CHF3 billion in stock and takes on up to CHF5 billion in losses, leading to the dissolution of Credit Suisse's 167-year history.

Credit Suisse Share Price Drop

On March 15, 2023, Credit Suisse's share price plummeted by nearly 25% following the Saudi National Bank's announcement that it could not provide further financial assistance.

Credit Suisse receives liquidity lifeline from Swiss National Bank

Credit Suisse received a liquidity lifeline from the Swiss National Bank after its share price plunged to an all-time low. The bank borrowed up to 50 billion Swiss francs from the central bank, becoming the first major bank to receive such an intervention since the 2008 Global Financial Crisis.

UBS announces intent to acquire Credit Suisse

On March 19, 2023, UBS revealed its plan to acquire Credit Suisse for $3.25 billion to prevent the bank's collapse, with the acquisition being completed in June 2023.

Credit Suisse Dissolution

Credit Suisse, after a century-and-a-half of existence, faced a series of scandals and failures leading to its dissolution into UBS.

Credit Suisse Success and Failure

Credit Suisse started with a profitable gamble but eventually faced a failed one. This event showcases the history of a remarkable bank during a tumultuous period.

Purchase of Ecuadorian Bonds

On May 5, 2023, Credit Suisse announced the purchase of Ecuadorian bonds worth $1.6 billion in a debt-for-nature swap. This strategic investment not only benefited the Swiss bank financially but also contributed to conservation efforts in the Galapagos islands.

Credit Suisse announces banking operations under UBS

On May 9, 2023, Credit Suisse announced that it would continue its banking operations under the hospice of UBS to fulfill financial obligations towards existing clients and employees of both banks. CEO Ulrich Körner will join UBS's executive board.

Credit Suisse Crisis: UBS Buyout

Cash-strapped Credit Suisse has faced liquidity issues due to scandals, risky investments, and losses. UBS and the Swiss Government recently bought out Credit Suisse to prevent further turmoil in the financial markets.

End of the Timeline
Credit Suisse

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