Wealth management helps Credit Suisse profits to accelerate
Financial services firm Credit Suisse has reported an early six-fold jump in third- quarter net profit behind a“very strong” performance by its wealth management business.
The Zurich-based firm predicted strong global economic growth in the fourth quarter that could underpin its results despite political uncertainty.
Net income rose to 244 million Swiss fran cs (£184 million) in the three-month period, up from 41 million francs a year earlier. Adjusted net revenues fell 2 per cent to five billion francs.
The Swiss bank said its deal pipeline has a“substantial back log” and it expects its wealth management bu si- ness to remain strong. The organisation is more than halfway through a three- year restructuring plan under chief executive Tidjane Thiam, and reaped about 400 million franc sin cost savings in the quarter.
He said client activity levels have stayed“muted” due to factors such as “uncertain geopolitical developments”, adding that activity levels in the third quarter of 2016 were exceptionally strong due to Brexit and the US elections.
He added :“Our teams remain focused on serving our clients and on the continued disciplined execution of our strategy.
“We are seeing the benefits of a number of key decisions we have taken to capture the wealth management opportunity.”