Swiss banking, known for its secrecy, gets put in the spotlight
Swiss banks have long been known for how much they value being discreet. Now their banking crisis is being put on the world stage.
Hi there! Dan DeFrancesco in NYC.
Today, we've got stories on how much blame Federal regulators deserve for SVB's downfall, advice for being a better middle manager, and some tips for Costco shoppers.
But first, what the hell is going on?
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1. Swiss banking shakeup.
Swiss banking, for better or for worse, has always been known for one thing: discretion.
But now the country that prides itself on keeping secrets is having its dirty laundry aired.
UBS begrudgingly agreeing to acquire rival Credit Suisse has put Swiss banking on center stage. The news even usurped the financial drama continuing in the US, whether it be the continued fallout from SVB or the fate of First Republic Bank.
Credit Suisse has stumbled through its fair share of crises in recent years. But the fall of SVB seemed to be too big a hurdle to clear, as questions began to mount about its financial situation. You know it's bad when your biggest shareholder essentially throws up its hands.
So where do we go from here?
Even those within Credit Suisse don't quite know that answer. Insider's Kate Duffy, Lina Batarags, Huileng Tan, and Nidhi Pandurangi report on the mood in Europe and Asia.
Perhaps this quote from a current Credit Suisse employee sums things up best.
"The vibe was very much 'this is very rushed, nobody has a clue what happens next, it's basically up to UBS but sit tight'."
Meanwhile, Insider's Carter Johnson, Casey Sullivan, Dakin Campbell, Alex Morrell, Rebecca Ungarino, and Emmalyse Brownstein have a report on how Credit Suisse's investment bank employees are feeling. In addition to breaking down the news, we've got the rundown on the winners and losers from the deal.
And while lots remains up in the air, one thing is certain.
Credit Suisse told staff they'll still receive their bonuses.
Click here to read more about how Credit Suisse's investment bank employees are feeling.
In other news:
Warner Bros.
2. So how bad is this gonna get? Regulatory-led bank takeovers in Switzerland. First Republic Bank looking for help. Central banks telling everyone to remain calm. Is this the beginning of the end? Here's a rundown on how bad this banking crisis could be.
3. The Fed blew it! A New York Times report details how officials at the Federal Reserve identified red flags at Silicon Valley Bank as far back as 2021. Read more about why regulators might deserve some of the blame for the fall of SVB.
4. Reading between the lines of the UBS-Credit Suisse deal announcements. Lost amid the frantic takeover were the passive-aggressive digs both banks took at each other in their statements announcing the news. More on both sides subtly complaining about the deal nobody wanted.
5. Inside a $12 billion startup's rapid ascent. HR startup Deel took off during the pandemic as companies grappled with how to recruit and hire workers around the globe. The startup grew from fewer than 30 employees to more than 2,000 workers in three years. But it didn't come without its hurdles.
6. That random friend request could end up costing you. Romance scams are big business, as digital grifters bilk about $1.3 billion a year out of people looking for some companionship. More on the rise of romance scams on the internet.
7. But what about the neobanks? The sale of Credit Suisse for $3.2 billion begs the question: What the hell are neobanks worth? If a long-established, albeit beleaguered, investment bank was sold at such a discount, then what could a digital-only consumer bank really go for? Read more here.
8. How to not be one of those managers. Matthew Meade, who spent more than 15 years working in finance at firms like JPMorgan and Bank of America, shares tips on how to excel at being a middle manager. First up, avoid these five mistakes mid-level managers tend to make.
9. Don't do this at Costco. If you're a member of the exclusive club, don't do this next time you shop there. From the type of membership you should get to the hidden meaning behind prices, here's some advice for all Costco shoppers.
10. Never leave home without it. You learn a lot when you've been to 40 different countries, including 22 on your own. These are the nine things you should always bring with you when you're traveling solo.
Curated by Dan DeFrancesco in New York. Feedback or tips? Email ddefrancesco@insider.com, tweet @dandefrancesco, or connect on LinkedIn. Edited by Jeffrey Cane (tweet @jeffrey_cane) in New York and Hallam Bullock (tweet @hallam_bullock) in London.