Media: Swiss bank refused to provide services to wealthy customers in Russia
Swiss Bank Credit Suisse refuses to serve wealthy clients in Russia. The only service the bank can provide for them at this time is advisory services, reports Russian news portal Forbes.ru, citing market sources.
"At the request of the client, I spoke with Russian managers who indicated that private banking covers all Russian accounts," a source from Forbes said. The decision was made in late May. Starting in June, managers began to inform customers about the change, a source close to the bank said.
In response to Forbes’ question, Credit Suisse said that it is continuously reviewing its international business products and services in order to ensure customers receive the most efficient services. The bank revised their private banking services in Russia and decided that it will continue providing only advisory services for private clients in Russia, but not onshore booking (accounts held in Russia).
"Credit Suisse will retain its banking license and will continue to offer onshore banking services to the international and domestic institutional, corporate and financial clients through its investment banking division in Russia," stated the bank’s message.
A source close to the Moscow subsidiary of Credit Suisse says that there are not many clients who hold assets in Russia and there are no claims from them. In order to remain customers of the bank, the clients of Credit Suisse will have to transfer assets to Switzerland. Market analysts do not exclude that the bank may close the entire private banking business with advisory services being provided by only a few advisers.
Credit Suisse is the last of three global banks that after ten years is still working with millionaires in Russia. A year ago, Deutsche Bank announced the closure of their services as a result of their global reorganization and cost reduction program. Their private banking division had operated in Russia since 2003. Another Western Bank, UBS, began to develop their business in 2007, but stayed in business less than three years and closed its office almost immediately after the global crisis.