Bank gives details of latest profit warning
Analyst highlights asset outflows
Seeks shareholder approval for 4 bln capital hike
Shares open lower following update

ZURICH, Nov 23 Reuters Credit Suisse expects to make a pretax loss of up to 1.5 billion Swiss francs 1.58 billion in its fourth quarter, as the Swiss bank prepares to seek shareholder approval for a 4 billion fundraising.

The bank said on Wednesday challenging economic and market environment had had an adverse effect on client activity, while cash outflows across the business had increased at the start of its fourth quarter.

The profit warning is the latest setback for the embattled lender which had previously said it expected to make a net loss during the last three months of the year but did not give a figure.

Credit Suisse is to hold an extraordinary general meeting later on Wednesday where it will seek approval for the capital increase to fund a recovery from the biggest crisis in its 166year history.

The bank has been battered by a string of scandals and losses, including a 5.5 billion loss from the unravelling of U.S. investment firm Archegos. It also had to freeze 10 billion worth of supply chain finance funds linked to insolvent British financier Greensill.

The Investment Bank has been impacted by the substantial industrywide slowdown in capital markets and reduced activity in the Sales Trading businesses, exacerbating normal seasonal declines, and the groups relative underperformance,…