More Worrying! Credit Suisse's Reported Net Outflows Are Higher?


 Credit Suisse saw more than $450 million in net outflows from US and European managed funds from March 13 to 15, Morningstar Direct reported on Friday. At the same time, retail and institutional counterparties withdraw money from funds managed by the Swiss lender.

More than 300 European funds managed by the bank had estimated net inflows of more than $14 million as of March 13.

As of March 15 there were net outflows of more than $211 million, he said.

More than 20 U.S. funds which was tracked showed net outflows of $22,000 on March 13 which then increased to $20 million the following day and to $29 million on March 15, Morningstar added. Data after March 15 is not yet collected and not all funds report it daily. The data includes open-end funds and exchange-traded products, he said.

Credit Suisse shares hit record lows on Wednesday after its main shareholder, the Saudi National Bank, said it could not invest more money for regulatory reasons.

On Thursday, the bank exercised a $54 billion loan option from the Swiss National Bank, helping stocks bounce back. Yet sentiment remains fragile and on Friday Credit Suisse shares fell more than 10%.

The lender confirmed last month that customers had withdrawn 110 billion Swiss francs ($118.71 billion) of funds in the fourth quarter while the bank reported an annual loss of 7.29 billion Swiss francs ($7.87 billion), its biggest since the 2007-08 financial crisis.

Credit Suisse Group's average liquidity coverage ratio, a measure of how much cash-like assets the bank has, was unchanged between March 8 and March 14, they reported on Thursday.