The fateful decision by Swiss authorities to impose full losses on certain bondholders of failed lender Credit Suisse will make life more difficult for European banks going forward, warned the institute’s former CEO.
In a column published in the Financial Times on Thursday, Tidjane Thiam argued the distressed sale to cross-town rival UBS upended international finance's traditional hierarchy, in which stock owners such as the Saudi National Bank are always the first to lose their shirts when a company fails.
