A group of Swiss and international investors representing over CHF 4.5bn ($5bn) of Credit Suisse AT1 bonds have sued the Swiss Financial Market Supervisory Authority for the $17bn wipeout that followed the bank’s acquisition by rival UBS.
An appeal against the order issued by the regulator to write down these instruments was filed on Wednesday (18 April) by law firm Quinn Emanuel Urquhart & Sullivan, which has assembled a multi-jurisdictional team of lawyers from Switzerland, the US and the UK. The AT1 bonds were issued by Credit Suisse as part of its capital structure to meet regulatory capital requirements. In the first claim to be brought by holders, investors are contesting the legitimacy of FINMA's decision leading to the wipeout. Credit Suisse AT1 bondholders seek to recover losses from UBS The complaint, see...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
