Credit Suisse has been fined €238mn ($235mn) in the French courts on money laundering allegations. In this case, France had alleged that the Swiss bank lured about 5,000 wealthy clients from the country to Switzerland between 2005 to 2012, which made them out of reach to French tax authorities. The assets under management from these French clients amounted to €2bn and Credit Suisse was estimated to have made €65mn in profit from those clients. The settlement is welcome news for Credit Suisse which is trying to clear the French probe before its major restructuring plans are announced this week.
Credit Suisse’s 9.75% Perps, callable in 2027 are trading higher by 1.63 points at 95 cents on the dollar, yielding 11.06%.