Credit Suisse CEO cautions on short-term markets

By Thomas Atkins

GENEVA (Reuters) - The chief executive of Credit Suisse (CSGN.VX: Quote, Profile, Research, Stock Buzz) warned about short-term dangers ahead in the financial markets on Friday but said he was optimistic about his own bank's outlook in the ongoing crisis.

In the text of a speech, Credit Suisse CEO Brady Dougan said he hoped the end of the crisis was in sight, but his instinct was to remain cautious.

"I am extremely optimistic about the opportunities ahead of Credit Suisse, even as I remain very cautious about the short-term environment," Dougan said.

"Whenever there seems to be light at the end of the tunnel, it has turned out to be another train coming at us," he said. "My inclination is to remain cautious."

Credit Suisse has posted billions of dollars in subprime related losses and was forced to admit billions more from a trading scandal during the financial crisis.

But the group has emerged less damaged from the turmoil than other globally active investment banks such as Bear Stearns BSC.N, which was sold to J.P. Morgan (JPM.N: Quote, Profile, Research, Stock Buzz) under distressed conditions, Citigroup (C.N: Quote, Profile, Research, Stock Buzz), which has posted more subprime losses than any other bank, and rival UBS (UBSN.VX: Quote, Profile, Research, Stock Buzz), Europe's hardest-hit bank from the subprime crisis.

"Without a doubt, the reputation of our industry has taken a beating. The financial industry will be under scrutiny from shareholders, regulators, clients and the public to address the issues raised by the crisis," Dougan said.

Credit Suisse continues to sell off its own exposure to risky assets and has won new clients during the crisis, he said.