Credit Suisse closing down IBD? More senior departures...
Just joined CS graduate programme as Analyst 1 this week. Having spoken to a few people within the firm, there is a rumour that Investment Banking will be dramatically shrunk and eventually closed down in certain geographies to focus on Wealth Management - can anyone confirm?
Dark future outlook coupled with another batch of senior departures and consequent decrease in deal flow got me thinking - was it a mistake to go to CS over another lower tier bb I had an offer from? Should I look to lateral elsewhere?
Their top Sponsors rainmakers (e.g. Malcolm Price) are all still there, which accounts for the majority of their IB revenue. They’re also killing it this year overall in the IBD, and the CEO has communicated that there is no intention to sell the IB.
No, that’s not happening in major markets.
salaries just got bumped to 100k
Tech M&A is on pace for best year this decade.
(Neither of the big tech M&A MDs left - David Wah and Steven Geller)
Lev fin still in great shape (Cohen and David Miller)
sponsors, key franchise, doing great (Malcolm price still around)
ECM franchise is extremely strong and has been bringing in great revenue even excluding SPACs
Given the uncertainty, I would personally not go there and take any other BB over CS
This is very naive and there are multiple threads on it.
There haven't been any departures for a few weeks, it appears exodus has been stemmed. After that, very key figures remain (as discussed above - Price, Wah, Geller, Cohen, Niron Stabinsky, David Hermer).
Why would these rainmakers who were receiving poaching offers from every bank across the street (including better ones) stay? Because the franchise will remain very strong in its key areas
CS analyst checking in. Reiterate everything said in this thread that the “demise of the IBD” is so wildly naive and overblown that it’s hard to put into words how dumb it is. The Investment Bank is having a record year, my group is blowing the doors off of our prior revenue records, we had a handful of crappy MDs and Ds leave that were generally the worst to work with and everyone is happy they’re gone. Bonuses were fat as hell and another pay raise is on the way, and deal flow has continued to be strong and the culture in the office has been very chill - most leave at dinner time and log on from home after hitting the gym - weekends have been very respected following the GS13 bonanaza. My friends at other BBs want to kill themselves with how bad they’re being grinded, couldn’t pay me to go work at a place like BAML right now especially when exit opps are very much the exact same. If you take a job at DB or UBS over CS you’ll get the 2 year prison sentence of nonstop pitching you deserve lol
I don't work there, but CS is still strong. Yeah, they had some bad headlines. Yes, some important bankers left and many unimportant bankers left. They are a big bank, this happens occasionally and there is no reason to think they will not continue to prioritize investment banking. There is zero evidence they are going to sell IB. They will likely de-risk their prime brokerage unit and de-prioritize their S&T business.
This OP prob doesn't work at CS. CS is very strong and would take a top group at CS (FSG/LevFin) over all other mid tier BBs (BAML/Barc) and a lot of the groups at some of the top tier BBs especially if you want to go to PE. Some of the lower groups maybe not so much. That being said, they obviously have a lot of work to do and we will see what happens in the future
Swear it’s another UBS burner account. Has no post history. Nobody disparages their own bank like that and says “should I have taken a low-tier BB offer instead?” Alluding to UBS/DB