Japanese investors plan to sue MUFG unit over Credit Suisse bonds

Lawyer claims brokerage failed to fully explain risks of so-called AT1 securities

Mitsubishi UFJ Morgan Stanley sold roughly 70% of the more than $1 billion of Credit Suisse AT1 bonds purchased by Japanese investors, according to the Japanese government. (Source photo by Reuters)

MITSURU OBE, Nikkei Asia chief business news correspondent

June 9, 2023 11:50 JST

TOKYO -- Japanese investors are planning to file lawsuits against Japan-based brokerages including Mitsubishi UFJ Morgan Stanley Securities over their sale of so-called AT1 bonds issued by Credit Suisse, Nikkei Asia has learned, opening a new front in the global legal battle over the investments.

Taiju Yamazaki, a former Bank of America Securities lawyer, said he expected that his first action would be filing a group suit in Tokyo on behalf of Mitsubishi UFJ Morgan Stanley Securities clients seeking to claw back losses on their Credit Suisse additional tier-1 bonds.