As compared to Goldman Sachs ( GS) and Deutsche Bank ( DB), Credit Suisse's risk management failed to move "first and fast." Investors took note and concluded that there might be some structural problems with the CS culture of risk-taking/management. Given that Credit Suisse is a major international bank, with a relative valuation now close to the lows seen during the financial crisis, is this a dip buying opportunity?Ĭredit Suisse's problems with excessive risk taking came into focus about 18 months ago, when the implosion of Archegos Capital caused about $5.5 billion of losses for CS. Credit Suisse Group AG ( NYSE: CS) is by far the worst performing bank YTD, as the stock is down some 60% versus a loss of approximately 23% and 21% for the S&P 500 Futures ( SPX ) and the Financial Select Sector SPDR ETF ( XLF ), respectively.
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