Credit Suisse yesterday revealed its targets for its three core businesses including wealth management, which disclosed a less ambitious tar...

Credit Suisse yesterday revealed its targets for its three core businesses including wealth management, which disclosed a less ambitious target for the latter. The Zurich-based bank has recently dropped a gross margin target of 130 basis points for its wealth management business, although the bank is still bullish on profits. Pre-tax profits in private banking are forecast to reach SFr4.6 billion ($3.5 billion) in 2007 – this compares with a profit target of SFr4 billion for the investment banking business. Europe's ninth largest bank by market value also said it has targeted pretax profit of SFr1.1 billion for its asset management division. Private banking will thus become the major profit centre of Credit Suisse and drive much of the bank’s investment and growth. Credit Suisse also said it was progressing on the disposal of its Winterthur insurance subsidiary, being prepared for an initial public offering some time after mid-year.