Harris Associates, a long‑time and major holder of Credit Suisse, reduced its stake in the Swiss bank by 10 percent amid a difficult period for the lender. The move comes as Credit Suisse reported substantial losses and a rapid exodus of customers, prompting investors to question the bank’s recovery plan. Harris Associates, led by vice president and chief investment officer David Herro, indicated a shift in its confidence as the strategy to fix problems without external remedies did not quell concerns in the market.
The timing of the share sale traces back to late October of the prior year, illustrating a trend among some large shareholders to reassess exposure to Credit Suisse during a period marked by volatility and strategic uncertainties. Among the bank’s other prominent investors, Qatar Investment Authority held about 7 percent of Credit Suisse, ranking as a close second in ownership stakes during the same timeframe.
News reports also highlighted a significant liquidity and sanctions-related development. According to a major daily, the bank held a large reserve of Russian assets that were frozen in amounts reaching around 17.6 billion Swiss francs, a figure that surpassed the sanctions total initially disclosed to markets. The formal accounting of sanctions around Moscow showed a subset of these assets being restrained by Swiss authorities, while the broader sanctions framework and related enforcement remained under ongoing review by regulators and market participants alike.
In a broader European context, regulatory bodies have indicated a lack of clarity about the actual location of a substantial portion of Russian assets tied up in sanctions. The legal and compliance landscape surrounding these assets has remained complex, with authorities acknowledging gaps in precise asset location data. This opacity adds another layer of risk considerations for banks and investors facing overlapping regulatory timelines and the pressures of sanctions compliance.
The situation for Credit Suisse thus combines strategic repositioning by a major shareholder, ongoing investor caution in light of losses and client departures, and the broader macroeconomic and regulatory environment that shapes asset freezes and enforcement. Observers note that the combination of a challenging earnings backdrop, reputational strain, and a complex sanctions regime can influence capital markets, reshaping risk assessments for large, long‑standing investors and for the bank’s clientele. As Credit Suisse navigates these headwinds, stakeholders continue to scrutinize management’s actions, the resilience of the balance sheet, and the bank’s ability to restore confidence among customers and counterparties while adhering to evolving international sanctions rules and compliance requirements.