Credit Suisse’s ‘Rogue Trader’ Bond Falls Short on Risk
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Credit Suisse Group AG sold 220 million Swiss francs ($222 million) of bonds designed to offload potential losses on events like rogue trading, with some investors sidestepping the issue because of the incalculable risk.
The second-largest Swiss lender initially planned to sell as much as 630 million francs of the notes, three people familiar with the deal said when it was first marketed. Order taking was extended earlier this month, people with knowledge of the deal said, and insurance blog Artemis reported on May 17 the offer was being cut to about 200 million francs.