European regulators distanced themselves from the Swiss decision to clear $17 billion of Credit Suisse’s bonds after the bank’s rescue, saying they would secure shareholders’ investments first.
Dominique Laboureix, chair of the EU’s Single Resolution Board, addressed investors in an interview with CNBC.
“In [a banking] resolution here, in the European context, we would follow the hierarchy, and we wanted to tell it very clearly to the investors, to avoid to be misunderstood: we have no choice but to respect this hierarchy.”
