Credit Suisse Talks to Underwriters Over Possible Capital Raise

Credit Suisse Talks to Underwriters Over Possible Capital Raise

Assessment

Interactive Video

Business

University

Hard

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The video discusses the financial concerns surrounding Credit Suisse, a Swiss lender, and their potential strategies for raising capital. It highlights the challenges of raising new money due to share dilution and explores options like selling parts of their investment bank and wealth business. The video also addresses the financial shortfall, which could rise to 8 billion Swiss francs by 2024, and the need for a broader restructuring plan.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the primary concern for Credit Suisse regarding raising new capital?

It would require government approval.

It would take too long.

It would dilute the shares.

It would be too expensive.

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which part of Credit Suisse's business is mentioned as a potential sale to raise capital?

Retail banking

Securitized product group

European wealth management

Insurance division

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the estimated financial shortfall for Credit Suisse by 2024 according to Goldman Sachs?

2 billion Swiss francs

10 billion Swiss francs

5 billion Swiss francs

8 billion Swiss francs

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the minimum amount of shortfall Credit Suisse might face?

$6 billion

$8 billion

$4 billion

$2 billion

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the role of underwriters in Credit Suisse's capital strategy?

To advise on capital plans

To manage daily operations

To oversee regulatory compliance

To provide loans