According to JPMorgan analyst Kian Abouhossein, Credit Suisse is increasingly looking to shift capital away from trading desks to Asian private banking, in addition to saving costs.
Thiam is also expected to cut assets worth CHF150bn ($149.34bn) from the bank’s fixed income, commodities and currencies (FICC) business.
Credit Suisse announced that Thiam will take over the CEO role once the existing CEO Brady Dougan leaves in June.
The company criticised Dougan for not cutting back the investment bank hard enough, leaving it reliant on trading revenues.
Abouhossein told International Business Times: "We believe the new CEO is RoE (return on equity) driven and in our view could come with a mandate to grow Credit Suisse private banking in Asia."
UBS analyst Daniele Brupbacher said by cutting jobs in the banking unit, the company’s core capital adequacy ratio to assets may improve.
In recent years, the company has trimmed its investment bank size by 22% in a bid to address concerns about capital strength.
Headquartered in Zürich, Credit Suisse Group operates the Credit Suisse Bank and other financial services investments. With four divisions the company is organized as a stock corporation. The divisions include Investment Banking, Private Banking, Asset Management, and a Shared Services Group.
