Good morning. This is the conference operator. Welcome, thank you for joining Credit Suisse Group's first quarter 2021 results media conference call. As a reminder, all participants who have dialed in are in listen-only mode, and the conference is recorded. Time permitting, you will have the opportunity to ask questions after the presentation. If you wish to register for a question, please press star and one at any time during the conference call. Should anyone need assistance, please press star and zero. I will now turn the conference over to Christine Graeff, Group Head of Corporate Communications. Please go ahead, Christine. Thank you, operator, and thank you, everybody, for joining us today. Before we begin, let me remind you of the important cautionary statements on slides two and three, including in relation to forward-looking statements, non-GAAP financial measures, and Basel III disclosures. For detailed discussions of our results, I refer you to the Credit Suisse first quarter 2021 earnings release published this morning. Let me remind you that our first quarter 2021 financial report and accompanying financial statements for the period will be published on or around the 6th of May. On the line with me today are Thomas Gottstein, our Group CEO, and David Mathers, our Group CFO. Thomas will give you an overview of our first quarter performance, and after these remarks, you will have the opportunity to ask questions. With that, I now hand over to Thomas. Thank you, Christine, good morning, everybody. I will lead you through some of the slides from this morning's analyst presentation, and David will also cover one or two slides from the financial section, and then we are delighted to take your questions. Let me begin with some comments around the recent events. The significant loss in our Prime Services business relating to the failure of a U.S.-based hedge fund is unacceptable. In combination with the recent issues around the Supply Chain Finance funds, I recognize that these cases have caused significant concern amongst all our stakeholders. Accountability is one of the core pillars of our corporate values. Together with the board of directors, we are addressing these situations through a series of decisive actions in the business and through two independent investigations which are already underway. The investigations will not only focus on the direct issues, but also broader consequences and lessons learned across the bank. We will work to ensure Credit Suisse emerges stronger. Today, we successfully placed two mandatory convertible notes, and I will go into greater detail shortly. This will enable us to further strengthen our balance sheet and support the momentum of our core franchises. Credit Suisse remains a formidable institution with a rich history. We have thrived for more than 160 years through external crisis and our own challenges. I'm confident for the future. At the heart of this confidence is the earnings power of Credit Suisse and the resilience and dedication of our roughly 49,000 employees around the world. I would like to take this opportunity to thank all our employees globally for their unwavering commitment to Credit Suisse and to our clients, which they have been demonstrating not only over the past few years, but particularly during the last few weeks, which were very challenging. They make me proud every day. In testament to their perseverance and adaptability, our underlying first quarter financial performance across all divisions was not only resilient but also strong. It was supported by solid results here in Switzerland and strong growth in APAC and in investment banking, as well as asset management. Net new assets for the group increased strongly in the first quarter, and group assets under management grew to CHF 1.6 trillion at the end of the first quarter. Let me turn to slide four, please. We reported a pre-tax loss of CHF 757 million for the first quarter and a net loss attributable to shareholders of CHF 252 million. This includes a pre-tax charge of CHF 4.4 billion relating to the U.S. hedge fund matter. As David will highlight in one of his slides, excluding this charge, adjusted pre-tax income, excluding significant items, was CHF 3.6 billion, reflecting the underlying strength of our business. Our wealth management-related businesses achieved a 59% year-on-year growth rate in pre-tax income on an adjusted basis, excluding significant items in this first quarter, and a return on regulatory capital of 29%. This was led by strong growth in Asia Pacific, where we achieved adjusted pre-tax income growth in U.S. dollars, excluding significant items, of 164% year-on-year. This underscores the region's key role in our growth strategy. On the same basis, RoRC in the APAC region was 52% in the first quarter. Net revenues in our Investment Bank grew 80% in U.S. dollar year-on-year terms in the first quarter. It recorded a pre-tax loss of $2.6 billion, including the U.S. hedge fund, with the well-known $4.7 billion charge we took in the first quarter. Our CET1 ratio was 12.2% at the end of the first quarter. Our Tier 1 leverage ratio was 5.5%, and our CET1 leverage ratio was 3.8%. As I mentioned today, we successfully placed an offering of two series of mandatory convertible notes convertible into 203 million shares, leading to an estimated uplift of around 55 basis points- 60 basis points to the CET1 ratio. We intend to restore capital to achieve an approximately 13% CET1 ratio and a minimum of 4% CET1 leverage ratio. We reduced the proposed dividend for 2020 to CHF 0.10 per registered shares. Following the completion of share buybacks in the first quarter of 2021, we have suspended the share buyback program. Subject to 2021 financial performance, the board of directors would intend to restore the dividend in 2021 before any resumption of share buyback. We move to the next page five. As we have previously disclosed, on March 25th, a U.S. hedge fund failed to meet its margin requirements, leading us to issue a default notice. In the first quarter 2021, we recorded a charge of CHF 4.4 billion in respect of this matter. We expect to take an additional charge in the second quarter of roughly CHF 600 million. We have exited 97% of our positions relating to the hedge fund. As you see on the right side, we have reviewed exposures across the entire Prime Services business. Related risk and control governance is already being strengthened and will be further enhanced following first and second-line risk management assessments. Our prime brokerage and prime financing businesses will be resized and de-risked with the primary focus on our most important franchise clients. By the end of 2021, we plan to reduce the investment bank leverage exposure by at least $35 billion and to align the IB risk-weighted assets to no more than the 2020 year-end levels. Regarding the supply chain finance funds matter, Credit Suisse Asset Management's priority remains the recovery of funds for investors in the four supply chain finance funds. To date, total cash collected in the funds amounts to $5.4 billion or 54%, more than half of the total AUM at the time that the funds were suspended, of which $4.8 billion has been returned to fund investors in two cash distributions. We intend to provide progress updates over the coming months. CSAM is in active dialogue with the administrators of Greensill and other parties to identify options to facilitate further recovery. We have noted that it is reasonably possible that Credit Suisse will incur a loss in respect of these matters, though it is not yet possible to estimate the size of such reasonably possible loss. We established asset management as a separate division effective 1st of April 2021, emphasizing the strategic importance of the business for the bank and its clients. I also want to be clear that there are no plans to sell the asset management business at this point in time. Next page, please. The Executive Board, together with the Board of Directors, has taken decisive actions in the wake of these events. As you can see from the next two slides, we have taken several decisive actions. For one, we implemented management changes in response of recent events. We welcome Ulrich Körner, who has been CEO of Asset Management and member of the ExB since April 1, 2021. Christian Meissner has been appointed CEO of the Investment Bank, a member of the ExB, effective this coming 1st of May. Joachim Oechslin has been appointed Interim Chief Risk Officer, a member of the ExB, effective April 6th, and Thomas Grotzer has been appointed Interim Global Head of Compliance effective 6th of April. The management team is fully focused on strengthening Prime Services and Asset Management risk controls, including a forensic analysis of the two incidents and lessons learned. We are conducting an overall review of risk systems, processes across the bank in close collaboration with the Board of Directors and external advisors. The Board of Directors has launched two investigations carried out by external parties. These investigations will be supervised by a special committee of the Board of Directors and will not only focus on the direct issues arising from those matters, but also reflect on the broader consequences and lessons learned. In each instance, we will work closely with the relevant regulators, including FINMA, which has opened enforcement proceedings in both cases. Next page, please. We have also strengthened our capital by issuing two series of mandatory convertible notes, convertible into a total of 203 million shares. These are expected to provide net proceeds to Credit Suisse Group of approximately CHF 1.7 billion. You can see the details on this slide, but let me highlight, as I mentioned earlier, that it is expected to lead to an improved CET1 ratio with an uplift of roughly 55 basis points- 60 basis points. On this page, let me now turn to the underlying performance, and on this page, you can see the revenue growth in both divisions, or in both businesses, rather. In terms of the three wealth management divisions, on the left side, you can see that we delivered strong growth across all three divisions and also on the investment banking side, on the right side. Wealth management-related revenues, adjusted excluding significant items, grew 7% year-on-year in the first quarter. Growth was particularly robust in transaction and performance-based revenues, which grew 18% from one year earlier. As you see on the right side of the slide, investment banking revenues grew 80% year-on-year during the first quarter to CHF 3.9 billion. The gain occurred across fixed income sales and trading, equity sales and trading, and particularly capital markets and advisory. Next page, please. Despite recent events, we grew our assets under management and achieved a solid increase in net new assets. Our AUM at the group level increased by 16% year-on-year to CHF 1.6 trillion, and grew by 6% since the beginning of the year. Net new asset growth for the last 12 months was 5%, and we posted an annualized NNA growth of 7% in the first quarter, as you can see on the right side of this page, or in absolute terms, CHF 28 billion. Next page. On this page, we show our client business volume, which is assets under management, assets under custody, and loan volume for each of our three private banking divisions. We have generated substantial client business volume growth across our wealth management businesses, particularly in Asia, which achieved a 41% year-on-year growth in U.S. dollar terms during the first quarter. We have also seen strong client business volume growth in IWM private banking and in the Swiss Universal Bank on the private client side. Likewise, we also saw very strong net new assets across the divisions. As you know, our ambition is to grow annual client business volume by mid-single digits in the Swiss business, mid to high single digits in IWM, and double digits in Asia, all of which we have comfortably exceeded in the first quarter. Next page, please. During the first quarter of this year, our wealth management-related adjusted pre-tax income, excluding significant items, grew 59% year-on-year to CHF 1.6 billion. On the same basis, RoRC, return on regulatory capital, in our wealth management-related businesses grew from 18% in the first quarter of 2020 to 29% in the first quarter of 2021. We grew total client business volume, which are the figures you saw on a divisional basis on the previous page, over all three divisions in aggregate by 22% year-on-year. We drove client activation, resulting in mandate penetration of 29%. We also experienced continued strong performance in the ultra-high-net-worth segment with total NNA of CHF 8.3 billion across all three businesses. On the next page, 13, let me cover in more detail our asset management business, which is a strategic part of our overall value proposition. Asset management revenues, excluding significant items, increased 60% year-on-year against what was a difficult first quarter in 2020, with notable improvement in both adjusted pre-tax income, excluding significant items, and in NNA. The rebound in quarterly performance stretched across the business despite the supply chain finance funds situation. Our strong NNA of CHF 10.3 billion during the first quarter was driven by inflows in traditional investments, investment in partnership, and in alternatives at above-average gross margins. Next page, please. Let me turn to our capital markets and advisory franchise, which outperformed most of our peers. Based on Dea logic data, our capital markets and advisory fees grew by 118% year-on-year during the first quarter to $1.7 billion. Our share of wallet on the same basis increased across mergers and acquisitions, equity capital markets, and debt capital markets. Next page. We recognize that a strong focus has to lie on sustainability. This is not only the right thing to do, it is good business and an important part of our growth strategy. With this in mind, last summer, we created SRI, Sustainability, Research & Investment Solutions, to infuse environmental, social, and governance standards at the heart of research, advisory, wealth management, asset management, and investment banking. Almost nine months after its launch, SRI has made excellent progress executing its strategy and delivering value to clients and stakeholders. We are doing this by enabling client transitions, driving our own transition, and taking a leadership role in standard setting, among other things. On the right side of this page, you see a few highlights. These include CHF 118 billion in assets managed according to sustainability criteria at the end of the first quarter. We priced 25 transactions, including sustainable bonds globally, totaling $17.3 billion. Before I hand over to David, let me briefly touch on the outlook. Overall, we would expect market volumes to return to lower and more normal levels in the coming quarters. We expect a residual impact of approximately $600 million from the U.S.-based hedge fund matter in the second quarter, as we have now exited over 97% of the related positions. In wealth management, we anticipate broadly stable net interest income and improving recurring commissions and fees, benefiting from higher level of AUM. For the investment bank, we would expect the second quarter to reflect a slowdown in market activity, as well as an impact from the resizing of our Prime Services business. Signs of recovery in the global economy could allow us to progressively release part of our allowance for credit losses under the CECL accounting methodology that was built in the early months of the COVID-19 crisis last year. Additionally, we expect the effective tax rate to remain significantly elevated for the remainder of the year. We intend to achieve a CET1 ratio of approximately 13% and a minimum 4% CET1 leverage ratio. With this, I would like to hand over to David. Thank you very much, Thomas. I'm not going to go through the full presentation I gave to the analysts this morning. I'm just going to pick out a couple of slides. What we show on page 17 is the overall numbers, and we'll take those as read, but I'd like just to focus, please, on slide 18, if that's possible. Thank you very much. What we show here is some more details on the underlying performance of the bank in the first quarter. As you can see, in terms of significant items, whilst there was a gain of CHF 144 million in respect of Allfunds, that was actually less than the CHF 268 million that we took in the first quarter of 2020. I think you should also note that the results are after taking a CHF 63 million charge for restructuring in the first quarter of 2021. It was a credit a year ago. Two other things just to pick out. It is certainly true, if you look at the CECL numbers, as Thomas has referred to already, whilst there was a CHF 305 million charge in the first quarter of 2020, there was a release of CHF 59 million in the first quarter of 2021. I think for those of you who have looked at the results of our U.S. banks, they've seen much greater releases in terms of this is not disproportionate in any way. Last but not least, you can see there's been a CHF 109 million reduction in our compensation and benefits charge, primarily driven by variable compensation accruals. I think if you just step back, I think it should be clear that excluding the U.S. hedge fund charge, our profit for the first quarter comfortably exceeds CHF 3 billion, regardless of how you actually look at the numbers. I'd now like to jump to slide 22, please, and just talk a little bit about the actual capital position of the bank. What we show here is a walk in terms of the CET1 and the leverage ratio. As we've announced already, you can see that on the left-hand side, we ended the first quarter with CET1 ratio of 12.2%. If we move from left to right, in terms of the loss of approximately CHF 600 million in regards to the sale of the vast bulk of the remaining assets owned by the U.S. hedge fund, that will reduce our capital position by about 20 basis points in the second quarter. Against that, FINMA imposed a buffer in respect of the size of these positions, which is proportionate to that size. As these are now rolled off, and we've said 97% have been disposed, that is actually released. Net-net, we should be up about 5 basis points as a consequence of those two effects. Allfunds is actually being IPO'd today, and we would expect a capital gain for Credit Suisse about 25 basis points from that. We'd expect around 55 basis points- 60 basis points, depending on the final pricing today and tomorrow, from two mandatories that we've actually issued to certain shareholders this morning. If you add that up, you can see that on an implied basis, we're standing at around a 13% CET1 ratio, which is a level that we intend to hold for the balance of the year. Just moving on, in terms of points to the right-hand side, we will be reducing the amount of RWA in the Investment Bank back to the level that prevailed prior to the end of December 2020. We are also planning certain other asset sales, which should boost our capital position by about 40 basis points- 50 basis points. I would note, we're also assuming that we'll have about 30 basis points-3 5 basis points debit in respect of operational risk capital, primarily related to the RMBS charge. I think if you look forward, I think the key point is, with the completion of the mandatory deal, we will be at an implied rate of 13% already, which is the target that we've recommended and agreed with the board of directors to prevail for the second half or for the rest of 2021. If you look at the leverage ratio, I'm not going to go through all the numbers in such detail, you can see the same measures increases our leverage to around 4% now, that's even before we conduct the runoff of about CHF 35 billion of leverage in respect to the investment bank's prime financing and Prime Services business. I think, again, that supports our goal of having a leverage ratio which exceeds 4% in CET1 terms. I think on that point, I think we probably should move to questions, Christine. Yes. Thank you, David. We will now begin with the question and answer part of the conference. Operator, let's open the line, please. Thank you. Anyone who wants to ask a question may press star one. If you change your mind and wish to remove yourself from the question queue, please press star two. Again, anyone who has a question may press star one at this time. The first question comes from the line of Owen Walker at Financial Times. Please go ahead, your line is open. Hello, Thomas and David. Thanks very much for your time today. Could you comment on The Wall Street Journal story last night about the CHF 20 billion of exposure to stocks related to Archegos? Is that actual CHF 20 billion of stocks, or does that include the leverage as well? Could you talk a little bit, I know you've mentioned earlier about the sell-off since then, but I don't know if there's anything more you can add in terms of whether these sales were all publicly disclosed or whether any private deals took place as well. Yeah, we are not confirming exact numbers, but as you saw in various comments, that we were probably one of the top three brokers for Archegos. Based on the numbers that others have provided, and that usually includes both long and short positions. It is a fact that we have reduced more than 97% our exposure from there. We are down to a couple of positions. We did that through block trades in orderly fashion. We decided to do this in an orderly fashion rather than in a one-time reduction. We did this at prices very similar to others who did it on one or two days, a few days ago. Our approach was to do this in an orderly fashion, and we are at these levels now. The exposures that have been portrayed in the media always include both long and short positions. Okay, great. Just in terms of whether they were private deals at all, the sales? As I said, we did it through a combination of blocks and orderly market sell downs. Okay. Thank you. Thank you. Thank you. Your next question comes from the line of Margot Patrick at The Wall Street Journal. Please go ahead, your line is now open. Oh, hi. Good morning. Thanks so much. I wanted to ask about that exposure level. It seems from what Thomas and David, you guys have both said this morning, that it wasn't a question of selling at bad prices out of Archegos. It sounds like it was about your absolute exposure level. I mean, can you confirm that? Otherwise it's hard, obviously, for people to understand how you could have lost so much more than others. Just related to that, can you give us a sense of where the problems were? Was it in the systems? Was it in the risk systems? Was it in people overriding decisions? Was it both of these things? I mean, just to understand a little bit better, because obviously people want to be clear it's not going to happen again. Sorry to keep going, but I wanted to also just have a second question on how long you expect your capital plan to hold, since there's so much consideration around strategy and potential disposals and so forth. I guess related to that would be how long can the management team hold? Thank you. Look, we are still analyzing the exact details of the loss, but what we can certainly say is we are looking at the absolute exposures. We are looking at the relative margin exposure. We are looking at the delta one correlation between the long and the shorts. We are looking at the underlying concentration of the individual positions, both on the long and the short side. We cannot comment on the others, what was different both at the time when we served our margin call, nor a few days earlier, nor a few weeks earlier. What is very clear, this was idiosyncratic situations with an underlying exposure that had explosive growth over the few months that led up to this incident. We are now reviewing this together with our board to clearly take the right lessons from that. We cannot really comment on others. It's clearly unacceptable that we even got into this position, and that's why we also took our consequences from it, in terms of personnel changes, and we are going now through the entire portfolio, which we have done already and will continue to do in all detail. We will reduce our risk exposures, as we mentioned, by roughly CHF 35 billion by the end of the year, which is roughly 1/3 of our Prime Services business. We'll take then the right lessons learned from it. We are working very closely with risk and control staff, both on the first line and second line of defense. In terms of capital plan, as David said, we want to operate at a 13% CET1 ratio and a 4% leverage ratio going forward, which is actually higher than where we were at the end of last year. We want to really take the whole capital debate off the table, which is also why we did proactively the two mandatory convertible notes. I want to also make clear this was something that both David and I came to a view is the right thing to do. We made that recommendation to the board. This was not as a reaction to any request by FINMA or any other regulator. It was our proactive view that, together with the board, we decided to issue these two mandatories, and that will really help us also against any possible market weakness over the coming months. The volatility is still there, and it's very unpredictable as we move into an environment with higher GDP growth and potential inflation risks in the mid to long term. It's important that we have that capital cushion. At the same time, it helps us to grow our private banking lending volumes. I don't think you answered about how long the management team could hold together. I guess what I really want to know is you said that the underlying exposure wasn't acceptable, but how did that happen then? It was unacceptable that you even got into the position, is what you said. Where did it break down? How did the risk limits get blown through or how did this happen? As I said, Margot, I gave you my early indications, but we are now reviewing that in detail. I'm sure we will get some more clarity over time also through the interaction with the regulators about the disclosure issues. It's clear that a family office like that did not disclose the positions like a normal hedge fund would do. We will also learn from the regulators how other firms had managed their positions. This is really all we can say at this point, Margot, and once we have reviewed and finalized our review, we will come back to you. Thank you. Thank you. Thank you. Your next question comes from the line of Jack Ewing at New York Times. Please go ahead, your line is now open. Yes, good morning. I would like to ask two things. One, the FINMA press release today made reference to information-sharing with the U.K. and U.S. regulators. I wonder if you could give us some detail on what types of questioning you're getting from those regulators, and from which agencies, and how big of a problem do you think that might be? Secondly, I wonder if you could talk about how this will affect your U.S. investment banking business, whether you expect big reductions in personnel in your presence in the U.S., how it looks going forward. Thank you. Yeah. Look, the Archegos situation happened in the U.S., in New York, and the SEC and other regulators are having discussions with all the prime brokers of Archegos. Switzerland is our home regulator. The swap books were primarily in the U.K. That's why those are the three regulators that are involved in the review of the Archegos situation. It's absolutely normal that the three are working together on a situation like that. We are working constructively and in a transparent way with all three regulators on that. As far as our investment banking platform is concerned, you saw our first quarter numbers. We were up 80%, outperforming most of our competitors, so we have a very strong business in all the other areas. We clearly are going to downsize our Prime Services business. That's really all I can say to that question. Thank you, Jack. Thank you. Thank you. Your next question comes from the line of André Müller at NZZ. Please go ahead. Hey. Thank you and good morning. First question concerning net new money. You have mentioned CHF 28 billion inflows in Q1. Could you be a bit more precise, when during Q1 have those inflows occurred? Especially the number in March and maybe now April, looking forward, would be interesting because there we can gauge a bit the effect especially of the Greensill case, whether that had an effect or not on net new money. Maybe second question, concerning variable compensation. You mentioned this has been reduced now during Q1 around CHF 100 million. Could you also be a bit more precise here? Where exactly have those cuts been made? Are wealth management and especially Investment Bank in general here in a focus, or was this especially in the Prime Services division where those cuts have been made? Thank you. Yeah. We show the NNA numbers on, I think it was page 11, if we can go back to that, where you see the client business volumes. There you see the net new assets in Switzerland, CHF 2.2 billion, IWM, CHF 7.2 billion, APAC, CHF 5.4 billion. That's roughly half of the CHF 28 billion. The other half is in institutional asset management. From a divisional perspective and from a timing perspective, they came through in a pretty steady way through all three months in the first quarter. April is not even concluded, and it's too early to say, but we have not seen any significant flows in either direction. There has been a very strong client engagement, continues to be very strong client engagement and very positive flows, both in terms of from a divisional perspective as well as from a regional perspective. In terms of variable compensation, as you probably know, the largest division in terms of our variable compensation pool is the Investment Bank, followed by IWM and APAC, and then Switzerland, but on the corporate functions. The reductions were [broad based]. Clearly, it's particularly hard hit the Investment Bank due to the loss. This is just one quarter out of four quarters and we obviously have to take the right hard look at variable compensation given the loss we had. At the same time, we also have to pay for performance. A lot of businesses have performed extremely well, as you saw from the numbers, and we need to find the right balance. Just to add a point, I think I can confirm that we had positive net new assets in each of our three wealth management divisions in March. Thank you. Thank you. Your next question comes from the line of Jakob Blume at Handelsblatt. Please go ahead, your line is now open. Hi. Thank you very much for taking my question. Might be a bit off question, I was wondering what's the status of the Senate discussion. You were meant to send a letter to the U.S. Senate on Archegos. Have you answered that, what did you answer? Are you concerned that maybe more regulatory questions from U.S. politicians would come, or how would you react to that? Yeah, that's my question. Yeah. The response to the Senate is something that we have just completed, and it's not really appropriate to discuss here in this forum. We are obviously going to, and we are welcoming actually that interaction, not only with U.S. politicians, which I'm sure will also speak to other involved parties around Archegos. Secondly, also here in Switzerland, where we will have a discussion with the WAK here with the parliamentary Ausschuss. We are welcoming actually this discussion because we can provide them with full transparency on the facts in both cases. Thank you. Your next question comes from the line of Thomas Boll at AWP. Please go ahead. Your line is now open. Yes. Good morning. I would have two questions. I'm just a bit astonished still that you don't mention anything about the Greensill provisions. It's quite clear that there will be at least a lot of litigation going on in the coming months or years. Why haven't you included that in your calculations? The second would be, if you could elaborate a bit on the future of the Asset Management, how you see that, how you will change things there. Thank you. Look, on Greensill, we are not at the end of the road. Our focus is on getting the money back for our investors. That's our fiduciary duty. We have so far collected CHF 5.4 billion of cash, of which CHF 4.8 billion was paid out. We have very good visibility to about 3/4 of the portfolio, and then we have three idiosyncratic situations around three names that represent roughly 23% of the portfolio. In each of them, we have very strong legal positions. There is substance behind each of them, and we are working with all parties involved to collect that cash. We have very constructive discussions with our clients. They understand that. They are giving us the time, rightly so. We are helping them if they have any cash needs, which is usually not the case. From that perspective, that's a very constructive discussion. We are not planning, from a bank perspective, to do any form of cash payments because our role in Credit Suisse Asset Management is to collect that cash. We've had, obviously, discussions with the various parties involved, and they are constructive. This is now something which will take several months. We will continue to inform our investors about the progress we are making. It's too premature to talk about any potential legal provisions or other provisions. On asset management, as I said, asset management was always strategically important for us. This is also why I moved it out of IWM into a separate division, now under the leadership of Ulrich Körner. It is a business that has done very well over the years. Clearly, Greensill was a setback. It was a disappointment, but at the same time, we can learn from that to make the business stronger. You can also see in the first quarter that they had a very good development. This is now something that we want to make sure that the due diligence that we are doing in Asset Management is best in class, and we have to improve that, both on the first line and on the second line of defense, take the lessons learned from this case. That's really all I can say to Asset Management. It's a very good business. You see it well-positioned as it is? Yeah. Like every year, we will have also this year a strategic review of all our businesses. We have a new chairman joining us on the 1st of May, and that will certainly be a very interesting and active discussion with him, the board of directors, and the rest of the executive board. Whether it's about Asset Management, about Investment Banking, about Asia, about the Swiss business. This will continue to be our annual strategic discussion, and that will also include asset management. It will include all the other businesses. Thank you. Thank you. Your next question comes from the line of Holger Alich at Tamedia. Please go ahead. Your line is now open. Yes. Thank you, everyone. Thank you for taking my question. I'd like to come back to Archegos once again and the question from the colleague from Financial Times. You said that you didn't make a big mistake when you were selling the shares that were the collateral. If that wasn't the problem, the selling of the shares, then the source of the loss must be that you had higher leverage than your competitors, right? Can I answer? I think a similar question was asked by one of the sell-side analysts this morning. Let me just summarize the answer which I gave this morning. What I said is that we conducted an orderly and reasonable rundown of the positions of this U.S. hedge fund in a responsible matter. When we looked at the prices that we achieved in that orderly rundown, they were very close to those achieved by the two houses that conducted their sales in the first couple of days. I think, therefore, the question, would Credit Suisse be better off by having executed all these sales in the first two days? The answer is no. Frankly, if we'd basically tried to sell at the same time as the other brokers were selling, I think it's questionable as to what the market price would've been in that particular circumstance. You can't deduce much more beyond that because I don't know what size our positions were compared to those of the other, apparently seven prime brokers that this hedge fund actually had. We may have had a greater position in stocks that fell more, and they may have had positions in stocks that fell less. There is a number of factors here that need to be looked at, and that'll be something as part of the board of directors' review. Clearly, we'll look at margining, we'll look at collateral, but we also have to look at concentration risk around these positions, too. There's a number of factors that actually drives this result, including the balance of longs and shorts. Secondly, Mr. Gottstein, in a nutshell, you said in the analyst call and our media call that besides these incidents that your strategy is sound, that you don't see much need for real uptake or changes in the structure of the bank. Don't you think that you might there get into conflict with your new chairman who's coming in because he's under tremendous pressure to de-risk the bank because I think shareholders don't want to see that again, and once again, I think 2/3 of your operating profit came from the Investment Bank, which is the most riskiest part of the business. If he will you do that, or don't you buy, then, such a strategy? As the operational numbers showed, in all four divisions, we had excellent results. That doesn't mean that we should not have a strategic discussion about individual divisions, businesses, regions, configuration of certain sub-businesses, growth strategies, capital allocation. All these discussions will be part of our strategic review with the board, with the new chairman, with my colleagues on the ExB and we will look at all businesses and as I said, there are no sacred cows. At the same time, the fact is that the first quarter actually demonstrated that the strategy per se, the underlying results showed that the strategy per se was working. I would not say that there is a need now because we had two very disappointing incidents to throw the whole strategy overboard. I definitely don't think that that's the right conclusion to take. We have to be always self-critical about sub-strategies or group strategies, or any other strategies. This is not the moment now to discuss this. We have a new chairman who starts on the 1st of May, then we will sit down together and have these discussions. Okay. Thank you. Thank you, Holger. Thank you. Your next question comes from the line of Monica Hegglin at Finanz und Wirtschaft. Please go ahead. Your line is now open. Oh, thank you. Hello, do you hear me? Yes, we can hear you. Yeah. Okay. I have a question on the importance of prime brokerage. It has been clearly a core business of Credit Suisse, and even after the reduction, the CHF 70 billion in leverage exposure, it will be a core business. Am I right? Especially as you want to focus on continuing to serve the most important franchise clients, which are those who made the biggest headaches in the past. The second question is, how do I calculate the cost of the mandatory convertibles correctly? The Prime Services business is now being strategically reviewed by Christian Meissner and the rest of the team, both on the IB and on the Executive Board, together also with the Board of Directors. We clearly have now, in the first instance, risk and control focus. Secondly, we want a risk reduction focus. We definitely want to reduce not only the overall exposure in terms of leverage and RWA, but also number of clients and the quality of clients. The CHF 35 billion we mentioned as a reduction is a minimum number, we will develop that further over the next few weeks. It is definitely not a business per se that we ever felt was extremely high-returning business, actually in the past didn't yield any bigger risk situations before this incident happened. It's something that we will probably, in the future, more use as a supporting business for our overall equity business, whether it's equity trading, sales, research, equity capital markets, where the equities business, which has a very strong link to the private bank. If you look at our private banking clients, the majority of the liquid assets are in equities. It's important that we can serve them with best execution. The Prime Services per se business, we'll probably more see as a supporting business for the overall equity franchise. The mandatory convertible, in terms of the pricing, will be priced at a 5% discount to the volume-weighted average price today and tomorrow. There is a coupon of 3% annualized, so 1.5% for the six months because the mandatory will convert in six months. The second tranche is open for our shareholders because it's based on authorized capital, where we do not exclude subscription rights. There, our existing shareholders during the next two weeks can subscribe to the mandatory, whereas the first tranche, which was roughly the same size, was based on conditional capital, which doesn't include any subscription rights. Time, I think we'll have to leave it here. Thank you all for your time today and for joining us. If you have any follow-up questions, please do contact the media relations team in the usual way. Thank you very much. Thank you.