It has been a difficult time for Credit Suisse. Last year Tidjane Thiam was ousted as a bank teller when he hired secret spies to spy on his friend and neighbor Iqbal Khan.
Credit Suisse then sued their customers after losing large sums of money after making $ 10bn of dubious loans from Lex Greensill. Among other things, it cost a lot of money to investors in support of Bill Hwang’s Archegos Capital, which exploded at the end of March.
When he wants to retire, Eric Varvel, head of Credit Suisse who oversees the distribution of finances, goes to his vacation home in Provence. We know this because his wife, Shauna, adauza Times last week before the next renovation book: Provence Color, Decoration and French Country Flair.
Time to inform people of the tragedy. There are many Credit Suisse customers who have lost a lot of money in Greensill. And even though Varvel was changed to head of financial management, he remains in the bank.
However, this is not a “Where are the customer’s boats?”Condition. First, this is Credit Suisse: customers already stay waves. And Varvel’s house was sold for 2.5 million euros, according to the site’s history. While a major overhaul costs twice as much, it is not a lot of money for someone who has spent 30 years at Credit Suisse, much of it in a high-profile position.
The case also involved payments to a Swiss bank. Although all of Varvel’s payments are unknown, we know that he benefited from a major way to transfer toxins from the bank to the bonus pool.
As a result, the system, which was first developed in 2008, was disrupted. The goal was not for them to afford to buy seven bedrooms that would start their own businesses and rent and Obamas.
But even if the calculation of dangerous rewards were to be minimal, the assumption was correct. Over and over again, the global financial crisis suddenly turned out to have a variety of debt repayment shares and loans that no one wanted.
With paperwork containing items that were useless, difficult to appreciate and paying interest, banks were pressured by lenders and shareholders. Credit Suisse thought it over: get rid of them by using them to pay depositors!
The goods were placed in a pool, while investors were given shares. If the item is sold at a later date than their last-2008 price, they pay. If they were sold at a lower price, the savers instead of just sharing them would be selected.
At the time, investors were never happy that their bonuses were being paid as toxic goods. They would prefer cash or, if necessary, shares of Credit Suisse. But they often go with them because it was not the right time to go looking for work.
This tool – called the Partner Asset Facility – has not had many followers, which is a shame. Reward-sharing helps connect drivers’ incentives and finances to a higher level. But there are often times when the shares of a company are frustrating. If you can get rid of them and use them to pay employees, it’s twice as good for those who share them.
In the case of Credit Suisse, investors have won. After fears subsided in 2009, the market thought there was toxicity to the risk factors and was very appreciative. The mortgage-indebtedness of the mortgage helped to buy the house of the Credit Suisse CEO in Provence where he could go on vacation after managing the billion-dollar segment in Greensill. And at least, after all these problems, there is a happy ending.