Alliance Bernstein Sues Switzerland

Alliance Bernstein Sues Switzerland

Alliance Bernstein has become the first institutional investor to join a class action lawsuit against Switzerland in relation to Credit Suisse. The investor is seeking $225 million in damages following the Swiss government’s decision to wipe out the AT1 bondholders. The move broke the practice of wiping out equity holders first. Shareholders managed to recover $3.3 billion. The total class action lawsuit is $335 million and is being pursued in the US to make it more difficult for Switzerland to assert sovereign immunity.

Insider Trading Indications Hit Record Low

The Financial Conduct Authority’s moves to stamp on insider trading seem to be bearing fruit. Indications of stock market moves just before price sensitive announcements reached 5.6 per cent in 2023. This is a record low since record began in 2018. It could also be that insider traders are becoming more sophisticated.

UK Calls for Greater EU Access

In a familiar retort, Rachel Reeves, UK Chancellor, has called on her EU finance minister colleagues to give the UK greater access to the continent’s financial markets. She argues that the UK’s deep capital markets would be useful in helping Europe deal with its growth challenges.

Spike in Complex Bond Sales

The FT reports that sales of complex bonds have increased by a fifth this year to $380 billion. This figure is $1 billion more than the last major spike in 2021. Assets used to back these bonds have included data centers, music catalogues and spicy chicken wings.