The international wealth management business, its main weakness this quarter, saw a 10% drop in revenue to 2.5 billion francs ($2.7 billion) from a year ago.
The Swiss franc rose by nearly 3% against the dollar in the third quarter of the year, hitting its highest in over five years, which would mean any non-Swiss investors would have seen their income diminish in local-currency terms.
Unlike many European lenders, Credit Suisse said it would pay the second half of its 2019 dividend to shareholders and plans a 5% annual dividend growth for next year. It also said it would restart its share buyback plan to boost shareholder returns next year by spending up to 1.5 billion francs ($1.6 billion).
The bank said it expects the COVID-19 environment to “continue to result in elevated levels of transactional and trading activity, across both our wealth management and investment banking businesses, as our clients respond to the macroeconomic uncertainties.”
Last quarter, Credit Suisse said it would merge its trading and investment banking division and combine its risk and compliance functions. The merged investment banking unit saw pre-tax profit rise to 370 million francs, as heightened trading helped equity and fixed income sales and trading surge 5% and 10%, respectively.