LOL Equities were wiped out.

"Equities are supposed to be wiped out before bond holders" doesn't make a lot of sense when the whole structure of AT1s is "oops the stock is swirling the bowl that means your bond has just been converted to floaters." The whole point is in the event of equities going to zero, the bond ceases to be a bond and becomes equity.

The Saudi sovereign wealth fund had a billion and a half in Credit Suisse. It had a valuation of $7b as of Friday. There were $17b in AT1s. I have a hard time believing that the Saudis had more skin in the game than everybody else because if they did, it'd be Credit Arabia already. We're talking bloodsuckers here, not patriots.

Remember - the Swiss sovereign wealth fund was printing money and buying Apple stock with it. At one point they were 18% of Apple, Inc. If they wanted to throw the thing into receivership they can print whatever they need.

This is like Congress deciding "125k, 250k, whatever guarantee all deposits" - AT1 holders are pissed off that their bonds are suddenly worthless when the whole point of those bonds is that they become worthless. Speaking as a capitalist, they all deserve to fucking burn.