Investors Smack Credit Suisse With $340M ETN Suit

Law360, New York (May 29, 2012, 6:45 PM EDT) -- A group of investors on Tuesday told a New York federal court that Credit Suisse AG cost them an estimated $340 million by understating the risks associated with exchange-traded notes it sold them that rapidly lost value when the bank suspended issuance of the notes.

Offering documents did not fully warn Investors of the losses that could occur if Credit Suisse reached the limit of ETNs it could offer and stopped issuing them, the investors said.

"Credit Suisse omitted material information concerning what was likely to...
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