UBS agrees to buy CS for ~$2Bn. Given that the merger is more likely to occur now, is jobs / offers at CS safe or should everyone at CS just brace for mass layoffs / offers rescinded in the coming months?
| +72 | PWP acquisition by Piper cancelled | 28 | 15h |
| +64 | Is my MD a grifter? 16 years, 8 firms | 21 | 8h |
| +62 | What does JEF banker always think they’re EB? | 32 | 13m |
| +55 | "Corporate & Investment Banking" Analyst - Why? | 40 | 7h |
| +47 | MS / GS IBD ACs London interview processes run by nationality? | 43 | 10h |
| +43 | No return offer - UPDATE. | 12 | 2d |
| +41 | Article: UBS Wall Street Rebuild Is a Study in Management Failure | 7 | 3d |
| +40 | Moat of modelling in PE/Finance completely vanished; | 12 | 8h |
| +29 | Lack of talent in IB! | 25 | 1d |
| +28 | What Are The Best Boutiques 2026/2027 | 16 | 1d |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
Prep your holes.
Confirmed CS fked
No one knows for sure but I mean, UBS has been VERY public about wanting to get out of IB in general and in most of the news coverage of this merger you see they were particularly disinterested in keeping around CS’s IB division considering all the scandal and issues it’s caused + reports say they’re pretty committed to cutting the overall IB down to 1/3rd of the combined size of both firms.
So again, while we don’t have confirmation - the news is kind of saying that it’s not a rosy picture for ANYONE in IBD at CS or even UBS and I’m inclined to agree with the news here
End me bro
I would operate under the assumption that there will be mass layoffs and offers rescinded
I’d say you’re probably safer at UBS than CS, but you should still be worried.
What bout singing bonuses for incoming FT?
let's just say you better warm up that singing voice
Follow
https://www.credit-suisse.com/about-us-news/en/articles/media-releases/…
Very confused as to how this reconciles with retaining 1/3 combined IB
Not sure if it means 1/3 of combined IBD size or 1/3 of the whole bank will be IBD which is similar to what it currently is
It doesn't. Never trust management.
"UBS Group AG Chairman Colm Kelleher says it's too early to tell if there will be job cuts after taking over Credit Suisse." - Bloomberg.
There is no way UBS absorbs everyone - absolutely not. At its largest before the GFC, headcount was around 85k. Now it stands at around 75k. I'd estimate they absorb half of CS employees - bringing it to 100k.
This is always what they say for the sake of good PR when a high profile M&A deal happens. Expect the “synergies” to kick in a few months as people are laid off to “cut costs” or “market forces”.
Sometimes you just have to laugh in the chaos man life's a rollercoaster you just gotta enjoy the ride
Yeah got it :D
Life wouldn't be fun if there was no challenges you know :D
Per press conference, UBS to cut CS IBD to 25%
Where did you read that? Only 25% number I see is that the combined IBD will account for 25% of the new group
Yep, your post is correct. Regardless, if I were someone that was going to be or is currently employed at CS (especially the former), I would absolutely be looking for another job.
Jesus thats worse than what was reported
wait so that would mean that CS IB operations and staff would be reduced by 75% (25% of the current scale)? That's insane
Stop spreading misinfo. 25% of risk weighted assets for the combined group
And cut resulting performance as well
All management talk about keeping the jobs, valuing the talents etc for the public image…but can do quite the opposite just to save the short-term stock price
“UBS Chair Colm Kelleher said during a press conference that it will wind down Credit Suisse's investment bank, which has thousands of employees worldwide.”
Hard to imagine that there won't be headcount reduction. I am assuming it would be cuts made in CS? Massive headcount reduction at UBS would be terrible for the culture and morale that they are so proud of
Yes
LMAO the chairman has expressed what they are going to do: winding down the cs ib business, he didn’t say UBS (albeit there are layoffs that will happen that were already planned) CS will for sure take the brunt of this and the strong will remain.
Status: FUCKED
Let's take a moment to reflect...and feel grateful for working at a Tier 1A US BB.
If people only commented the shit they were willing to say out loud, this site would be much more productive and informative.
GS/MS literally just had layoffs lol
Would CSFB count as part of CS IBD still in this case?
Yes, in fact it’s looking likely the CSFB split is not going to happen although it’s not been confirmed yet
Keep in mind CSFB is very broad. From what I'm seeing, seems like NY advisory is safe but other groups in investment bank will be put in NCU
What about APAC Advisory where CS is strong?
Sure but what internships are still out there for this summer?
https://www.efinancialcareers.com/news/2023/03/ubs-credit-suisse-job-cu…
The UBS investor pres says they plan to squeeze $8 billion of run rate cost savings out of the pro forma business. CS had FY22 g&a expense of….drum roll please…$8.9 billion.
maybe for projected synergies ubs just looked real fast at how much they’d save if/when they fire everyone from CS 😬😲
JK you guys are wasting your time. No one knows or cares at what will happen to you. It’s irrational to worry about stuff you can’t control. Just make contingency plans starting now
$6b from staff cuts, still pretty brutal
what about incoming analysts in markets in Asia
Assume Spin-off or Sale of Banking Assets
Where are you getting this from? Unless M Klein comes up with something, I see entire investment bank except US advisory to be exited especially since they're under such a tight timeline. Spin offs would just take longer and be more expensive
Instead of selling CS IB, they just destroyed.
Massive destruction of value
Can someone clarify what CS US advisory is? Is that all the vanilla coverage groups, m&a, sponsors etc?
Know that prime brokerage, a lot of the markets bizz and spg is in NCU
Bump, do y'all think CS financial sponsors group is largely safe? Technically advisory but also historically very markets focused given the underwriting of debt
If the department utilises a relatively high % of RWA I would be more uncertain IMO
Capital markets?
I'm pretty sure it's all coverage groups, M&A and sponsors but I'd assume not levfin and definitely not any cap markets
Just a general question, why is UBS adamant about getting out of IB in general? Or specifically IB in the US?
Occaecati qui aliquid aliquid magnam ut occaecati nobis dolorum. Et hic nemo corporis veniam id. Impedit velit qui ipsa amet id et consectetur. Soluta omnis sed eum nemo praesentium iusto vitae. Amet architecto quo alias quis et.
Libero rerum quod id voluptas mollitia ipsa cumque. Non consequuntur sed sed consequatur quia. Ducimus et recusandae consectetur suscipit reiciendis iste rerum. Et necessitatibus reprehenderit autem sunt sunt est. Praesentium dignissimos voluptate nulla sit aut.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...
Blanditiis et est dolores enim quos consequatur. Aspernatur qui voluptates itaque dolorem omnis sit aut. Et veritatis expedita rerum.
Et quaerat aut tempore quia qui. Quidem nostrum vero nostrum et quia. Eaque quasi laudantium rem ut reiciendis. Perspiciatis et quo minus ea nobis. Porro molestiae aut sunt aut.
Architecto accusantium fugit nam quia nam pariatur. Eos nisi voluptatem iste corrupti officia quo est. Dolorum aut est aut nihil nemo. Omnis vel deleniti id ducimus.
Necessitatibus optio est voluptatum et quo non similique quis. Dolores facilis odio quo consequuntur non explicabo. Provident itaque aut et neque. Doloribus cupiditate commodi iste suscipit et aut velit.