ZURICH (Reuters) – Credit Suisse <CSGN.S> on Wednesday announced a share buyback of up to 1.5 billion Swiss francs (1.2 billion pounds) in 2019 and plans to increase its dividend by at least 5 percent from 2019 onward, confirming its strategy as it wraps up a three-year revamp under Chief Executive Tidjane Thiam.
“The actions taken during the restructuring mean the bank is now more resilient in the face of market turbulence,” Thiam said in a statement ahead of the bank’s investor day.
“As a result of known actions that are under our control, we expect to achieve at least a 10 percent return on tangible equity in 2019.”
Switzerland’s second-biggest bank last year announced new 2019 and 2020 yield targets and a plan to distribute half of net profit to shareholders primarily through share buybacks or special dividends, saying it had made strong progress in its ambitions to become a leading wealth manager with strong investment banking capabilities.
(Reporting by Brenna Hughes Neghaiwi; Editing by Maria Sheahan)