Trading units of Swiss banks move in opposite directions
Over three years, Credit Suisse has cut RWAs allocated to trading 17%; UBS has increased them 46%
The risk-based capital costs of Credit Suisse’s trading business have fallen in the last three years, while over the same period, UBS’s capital charges have ballooned.
Since Q1 2016, Credit Suisse’s Global Markets division has cut its risk-weighted assets by 17% to Sfr58 billion ($58 billion), while group-wide RWAs fell 3%. At UBS, the investment bank’s RWAs are up 46% to Sfr93 billion over the same period, compared with an overall RWA uplift of 25%.
Despite the cut in RWAs, net revenues
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