(by Geck Finn)

Credit Suisse Group, Switzerland’s No. 2 bank, on Wednesday said it swung to a second quarter net profit of SFr1.45 billion ($1.1 billion), with revenue up 11 percent to SFr13.51 billion, or an 18 percent decline from the first quarter. Analysts had forecast net profits between SFr1.204 billion and SFr1.369 billion. By unit, its Credit Suisse Financial Services division swung to a SFr1.07 billion net profit, or a 4 percent decline from the first quarter, driven by 66 percent growth in private banking profits and 57 percent growth in its corporate and retail banking division from a year ago. At Credit Suisse First Boston, net income rose 113 percent from a year ago but fell 43 percent sequentially to SFr430 million, on 38 percent lower trading revenue from the first quarter, primarily reflecting significantly lower fixed income trading results due to lower proprietary trading results, reduced client activity and losses on derivatives used for risk management purposes.

``Obviously there’s some concern on the trading activity and on the M&A advisory work,’’ said Guy de Blonay, who manages London- based New Star Asset Management’s $100 million Global Financial Fund, which includes Credit Suisse shares.

Credit Suisse shares fell as much as 4.6 percent, and were down 1.75 francs, or 4.2 percent, to 39.65 francs at 9:23 a.m. in Switzerland. The shares have fallen 11 percent so far this year, compared with a 1 percent gain at UBS AG, Credit Suisse’s larger Swiss rival.