Credit Suisse CEO Talks State of Financial Markets

Credit Suisse CEO Brady W. Dougan delivered candid remarks on the future of financial markets, the effects of the economic crisis on finance, and the current hiring season in the financial industry to an audience of nearly 200 at the Charles Hotel last night.

Dougan cited the dynamic, fast-paced nature of the industry when explaining why he believes students should pursue a career in financial services.

“If you’re smart, hardworking, and take initiative, finance is one of the best businesses to get into,” Dougan said.

But he had a more cautious outlook on the future of financial markets.

“The impact of the financial crisis will be far-reaching,” he said. “People and firms are rethinking who they do business with.”

When asked where he sees potential for growth, Dougan pointed to alternative energy, private banking, and emerging markets such as Indonesia and Brazil.

According to Dougan, about 20 percent of hiring for financial firms has historically been entry-level hires, while 80 percent has comprised lateral hiring from other firms.

Dougan said Credit Suisse aims to reverse this ratio and increase the percentage of hires from historically underrepresented groups in the industry, including women and minorities.

About 30 percent of the firm’s incoming employees are women, which is approximately the percentage of women students at Harvard Business School, Dougan said.

Betsy Covitt, Credit Suisse’s Campus Relations Manager for Harvard, said that while the firm’s hiring has been fairly consistent in past years, the economic downturn has affected all industries, including finance.

Jeffrey D. Homer ’13, treasurer of the Harvard Investment Association, said that bringing a CEO to Harvard was indicative of the larger financial industry’s greater focus on hiring currently.

“Job prospects seem to be improving compared to two or three years ago,” Homer said.

Mary C. Szpak ’11, who will be joining the Credit Suisse team after graduation as a full time analyst on the institutional sales desk, balanced the public’s view of the industry with her own experiences.

“Bankers are considered the bad guys by the public,” she said. “But this is a business that is resilient and is not going away anytime soon.”