CSFB's IB head tells bankers to curb the excess

Investment Bank CSFB, or now referred to as just Credit Suisse, has told its bankers to curb the partying and color copies to help the group improve its efficiency. Investment banking is theoretically a high margin business given that the business is service oriented. Compensation customarily accounts for the lions share of any investment bank's operating expenses, but, as the CSFB scenario illustrates, other expenses can catch up. Perhaps the urgency from Brady Dougan, GSB grad and investment banking head at CSFB, stems from the fact that the division's efficiency ratio (cost / income) is higher than perennial rival UBS. See the article here.