Credit Suisse CEO Tidjane Thiam has said that a defensive approach in 2019 looks the most beneficial to deal with the unknown quantities that the world is experiencing.

Speaking on Bloomberg TV at the World Economic Forum in Davos, Switzerland, Thiam spoke of the benefits of having a strong capital base and low revenue in navigating such uncertain waters as Brexit and the US-China trade war.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

“Any forecast is very tricky to make, this is why we’ve taken a very cautious stance. Low cost, low risk, flexibility – so we can pick up on any upside should a trade agreement be reached between China and the US.

“We’ll be ready to benefit from that, but with a strong capital base, a rebuilt balance sheet, we can also deal with a downturn.”

Thiam admitted that Q4 of 2018 was trying for Credit Suisse with market volatility hitting wealth management, but saw this as gratifying of the work done under his stewardship.

“It vindicates everything we’ve been doing [for] three years.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Since Thiam joined Credit Suisse in 2015, the bank has undergone a restructuring process with hundreds of jobs axed and a strategy focused primarily on wealth management of ultra-high-net-worth individuals.

Thiam spoke also of the share buyback programme, launched earlier this month calling it a “vote of confidence” in the bank by regulators. “It means that we’ve dealt with our major legacy issues, and there’s no big cloud hanging over Credit Suisse.”

Asked what will be the biggest risk in 2019, Thiam said, “I’m afraid to say it’s politics.

“Running a country has become a more challenging job than ever before. There has been a lot of thinking on how business will be disrupted by technology. I am not certain that there has been the same level thinking about politics.

“Political uncertainty doesn’t make our jobs as business leaders easier. This is when having a strong balance sheet and having the capital to support clients is crucial.”