© Reuters. FILE PHOTO: A person walks past the Credit Suisse office at Canary Wharf in London, Britain March 20, 2023. REUTERS/Hannah McKay/File Photo By Divya Rajagopal TORONTO (Reuters) – The Credit Roundtable, a lobby group of some of the largest fixed income asset managers in the United States and Canada, has decided not to…
Swiss financial regulator Finma has defended its decision to wipe out the value of risky additional Tier 1 bonds as part of Credit Suisse’s bailout deal. The move has enraged some bondholders as Credit Suisse shareholders will receive a payout. In a statement on Thursday, Finma said that the AT1s “contractually foresee that they will…
“They changed the law and they basically stole $16 billion worth of bonds,” Davide Serra, founder and CEO of Algebris Investments, told investors on a call this morning. “It was a big political mistake, [and] they will regret it. [ . . . ] Switzerland will be the new pariah in this [loss-absorbing bond market]. They asked for it,…
The $17.3 billion stack of its riskiest Credit Suisse Group AG bonds is on a knife edge as investors risk either being wiped out by a nationalization or facing potentially record gains if a deal with UBS Group AG succeeds. It’s a bizarre case of an almost binary outcome for traders frantically changing their quotes…
