The Zurich-based bank will move its debt and equity capital markets, and corporate advisory businesses to London, venue of major recent Russian share offerings by Sberbank and mobile phone firm MegaFon, the source said. Credit Suisse was involved in both deals, propelling it to the top spot in the year to date in Russian equity deals, according to Thomson Reuters rankings. It placed 12th in debt deals and sixth overall in Russia.
Switzerland's dominant banks have come under massive regulatory pressure to cut risk and shrink balance sheets, while Russian state rivals Sberbank and VTB are expanding their own investment banking operations.
The move responds to a flow of liquidity away from Moscow which - despite the Kremlin's efforts to transform the Russian capital into a global financial centre - has failed to attract major deals. Capital is leaving Russia at an annual rate of $80 billion, reflecting concern about corruption, the weak rule of law and the state-capitalist agenda pursued by President Vladimir Putin since his return to power in May.