Credit Suisse review not concerned with local operations
The announcement thatCredit Suisseis planning to conduct a review of its US and UK funds management businesses is unlikely to have any impact on the group’s local operations, according to Credit Suisse Australia’s chief executive, Andrew McKinnon.
The recently appointed vice chairman of Credit Suisse First Boston, Jeff Peek, announced this week the group was planning to conduct a review of its US and UK funds management businesses as part of its plan to become one of the world’s top three financial service companies.
But McKinnon says while the announcement is very positive for the group globally, it was expected to have few implications for Australia.
"The key message is the intentions to grow the business and to increase the percentage of business profits [in the US and the UK]," he says.
McKinnon says he is not surprised by either the timing or the focus of the review.
“We’ve had discussions just recently with Jeff Peek on the business and the importance of asset management to the group, so we’re not surprised. The intention was always to build the domestic business in the UK and US,” he says.
“The strategy of the group is to have strong domestic markets in Japan, UK, Europe, the US and Australia,” McKinnon says.
He says the focus on the US and the UK markets reflects the strong position of Credit Suisse Australia.
“It does reflect that we have already established ourselves as a strong domestic market. For us it is a case of business as usual,” McKinnon says.
Credit Suisse Asset Management currently accounts for 3 per cent of the investment market in Australia.
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