Young Research & Publishing Inc.

Investment Research Since 1978

Compensation was paid to utilize rankings. Click here to read full disclosure.

  • About Us
    • Contributors
    • Archives
    • Dick Young’s Safe America
    • The Final Richard C. Young’s Intelligence Report
    • You’ve Read The Last Issue of Intelligence Report, Now What?
    • Dick Young’s Research Key: Anecdotal Evidence Gathering
    • Crisis at Vanguard
  • Investment Analysis
    • Bonds
    • Currencies and Gold
    • Dividend Investing
    • ETFs & Funds
    • Investment Strategy
    • Retirement Investing
    • Stocks
    • The Efficient Frontier
  • Investment Counsel
  • Retirement Compounders®
  • Free Email Signup

Credit Suisse Announced “Material Weaknesses” In Its Internal Controls

March 14, 2023 By Jeremy Jones, CFA

By Fedor Selivanov @ Shutterstock.com

Owen Walker reports for the Financial Times that Credit Suisse has announced: “’material weaknesses’ in its internal controls over financial reporting.” Walker writes:

Credit Suisse said it had identified “material weaknesses” in its internal controls over financial reporting, the latest blow to a bank battling to revive its fortunes.

In its annual report on Tuesday, Credit Suisse said “management did not design and maintain an effective risk assessment process to identify and analyse the risk of material misstatements in its financial statements”.

The bank said its full-year 2022 results, when it reported its biggest annual loss since the financial crisis, were unaffected.

Credit Suisse had been forced to push back the publication of the annual report from last week after receiving a last-minute call from the US Securities and Exchange Commission relating to cash flow statements going back three years, which it described as “technical”.

Chief executive Ulrich Körner said at the Morgan Stanley European Financials conference on Tuesday that the feedback from the SEC was part of “longer dialogue” between the two parties over the issue.

“We are, as you would expect from us, addressing very forcefully with the appropriate actions,” he added.

The findings come at a difficult juncture for the bank that has lurched from crisis to crisis in recent years, resulting in heavy losses. Its share price fell 4 per cent in early trading on Tuesday to SFr2.166, leaving it down more than 20 per cent this year and more than 80 per cent over the past two years.

The spread on five-year Credit Suisse credit default swaps hit a record 522 basis points on Tuesday, having previously spiked at 350 bps in October.

Much of the recent rise in Credit Suisse CDS spreads — which indicate investor bearishness — happened earlier in the week, as fears of contagion from the collapse of US lender Silicon Valley Bank spread to European companies.

Read more here.

Share this:

  • Email
  • Twitter
  • Facebook

You Might Also Like:

  • Tesla Set to Lose Major Emissions Credit Buyer
  • New MIT Super Material Could Revolutionize Industries
  • McWAGE CONTROLS: California Wants to Set Wages for Fast Food Work
  • Author
  • Recent Posts
Jeremy Jones, CFA
Jeremy Jones, CFA, CFP® is the Director of Research at Young Research & Publishing Inc., and the Chief Investment Officer at Richard C. Young & Co., Ltd. CNBC has ranked Richard C. Young & Co., Ltd. as one of the Top 100 Financial Advisors in the nation (2019-2022) Disclosure. Jeremy is also a contributing editor of youngresearch.com.
Latest posts by Jeremy Jones, CFA (see all)
  • Money Market Assets Hit Record High: $5.4 Trillion - May 26, 2023
  • The Mania in AI Stocks Has Arrived - May 25, 2023
  • The Wisdom of Sam Zell - May 24, 2023

Search Young Research

Most Popular

  • Wellington and Wellesley Funds Not Managed by Vanguard
  • The Single Worst Market Timing Event in History
  • “No Way I’m Spending That Much on Those”
  • Should America Move Closer to the Saudis, or Push them Away?
  • The War Machine's Manpower Problem
  • The Power of a Compound Interest Table
  • Will the Fed Hold Up Its End of the Bargain?
  • “You Didn’t Eat That Again, Did You?”
  • Vanguard Wellesley (VWINX) vs. Wellington (VWELX): Which Fund is Best?
  • Profits Becoming Elusive in China

Don’t Miss

Default Risk Among the Many Concerns with Annuities

Risk and Reward: An Efficient Frontier

How to be a Billionaire: Proven Strategies from the Titans of Wealth

Cryptocosm and Life After Google

Warning: Avoid Mutual Fund Year End Distributions

Is Gold a Good Long-term Investment?

How to Invest in Gold

Vanguard Wellington (VWELX): The Original Balanced Fund

What is the Best Gold ETF for Investing and Trading?

Procter & Gamble (PG) Stock: The Only True Dividend King

The Dividend King of the North

You’ll Love This if You’re Dreaming of an Active Retirement Life

The Importance of a Balanced Portfolio

Invest with Peace of Mind and Comfort

What Kind of Life Are You Investing For?

RSS The Latest at Richardcyoung.com

  • The Elephant in the Room
  • “Then One Day the Grandfather was Gone”
  • My Key West Garden Office
  • OPERATION MOCKINGBIRD: The Truth About the CIA?
  • Does a New Antiviral Covid Drug Do More Harm than Good?
  • The Biden Regime Treats Americans Worse than Illegal Immigrants
  • Key West #1 Wine Shop & Wine Expert
  • California – First to Enact Statewide Gun and Ammo Tax
  • “No Way I’m Spending That Much on Those”
  • How Much Can Grid Battery Storage Help?

RSS The Latest at Yoursurvivalguy.com

  • “Then One Day the Grandfather was Gone”
  • How Joe Biden Raised Oil Prices
  • Is the Philadelphia Looting Spree the Wake-up Call America Needs?
  • “No Way I’m Spending That Much on Those”
  • What Trade Policy Serves America’s National Interest Best?
  • California Wants to Make the 2nd Amendment Unaffordable
  • “You Didn’t Eat That Again, Did You?”
  • Is McCarthy Up to the Task?
  • Rising Costs Are Hammering Commercial Real Estate
  • Your Survival Guy Fishing with Dolphins

About Us

  • About Young Research
  • Archives
  • Contributors

Our Partners

  • Richard C. Young & Co.
  • Richardcyoung.com

Copyright © 2023 | Terms & Conditions

 

Loading Comments...
 

    loading Cancel
    Post was not sent - check your email addresses!
    Email check failed, please try again
    Sorry, your blog cannot share posts by email.