MUFG Says Credit Suisse AT1 Debt Sold to Help Clients Diversify

Mitsubishi UFJ Financial Group Inc. said its brokerage venture sold Credit Suisse Group AG’s riskiest bonds to help clients diversify their portfolios, as the firm tries to explain what led to $700 million of losses for customers.

The firm continues to examine its sales practices for these products, known as Additional Tier 1 notes, said Shinjiro Yamamoto, managing executive officer of Mitsubishi UFJ Morgan Stanley Securities Co., at an earnings briefing in Tokyo that was dominated by questions about these transactions. The bonds were sold to 1,300 individuals and 250 corporate accounts, he said.