Hot on the heels of today’s announcement by Credit Suisse Group AG (ADR) (NYSE:CS) that it has made a loss for the first time since 2008, the firm now has confirmed that it is to cut bonuses for its investment banking executives by 36%.
CEO Tidjane Thiam has explained to analysts that the firm’s investment banking division will be most affected by the bonus cut, whereas across the entirety of the bank’s operations, bonuses were reduced by 11%.
As part of a widespread cost-saving program, Credit Suisse has not only reduced bonuses but has also announced its intention to cut 4,000 jobs, including employees, contractors and consultants.
Credit Suisse is one of the largest interbank FX dealers in the world, with its prominence in Asia giving it the accolade of being the largest foreign broker by market share across seven regions, however its market share in the FX market globally has fallen substantially during recent times, with the firm now being in 12th place worldwide in terms of volume.
Earlier today, it was reported that the bank had made an annual loss of £1.65 billion, causing its share price to collapse during the course of today’s morning trading session.
