Credit Suisse bondholders in uproar over $17bn debt wipeout

Credit Suisse bondholders were in an uproar on Monday and the European Central Bank raised concerns after the rescue deal by rival UBS resulted in $17bn of the failed Swiss bank’s bonds being wiped out, upending debt recovery norms and undermining financial market confidence.

“In my eyes, this is against the law,” said Patrik Kauffman, a fund manager at Aquila Asset Management who invests in additional tier 1 (AT1) bank debt.