a fund manager is holding on to his short position in credit suisse despite a multibilliondollar lifeline offered by the swiss central bank in an effort to calm investors barry norris fund manager at argonaut capital said friday morning that he expects credit suisse s stock price to continue to fall despite the swiss national bank saying it met the capital and liquidity requirements imposed on systemically important banks his comments came before r eports that ubs is in talks to buy credit suisse  investors who hold short positions benefit when a stock falls they do this by borrowing shares from other investors to sell them immediately then they repurchase the shares later when the price is lower and make a profit from the difference were holding on to the short position norris who manages both long only and longshort equity funds told cnbcs squawk box europe the whole bank is in a winddown essentially whether that wind down is orderly or disorderly is the debate at the moment none of which though creates value for shareholders in my opinion he added norris argonaut absolute return fund fund delivered 113 in returns last year amid a year of losses for the broader stock market credit suisses management is believed to be in crunch talks this weekend with the financial times reporting that ubs could take over all or part of credit suisse  neither bank commented on the report when contacted by cnbc norris stressed the importance of the banks situation being managed in an orderly way if credit suisse has to unwind its balance sheet in a disorderly way those problems are going to spread to other financial institutions in europe norris said on wednesday credit suisse ceo ulrich koerner thanked swiss regulators for their intervention saying that he was resolved to move forward rapidly to deliver a simpler and more focused bank built around client needs these measures demonstrate decisive action to strengthen credit suisse as we continue our strategic transformation to deliver value to our clients and other stakeholders the ceo added csgnch 5y mountain argonauts norris noted that credit suisse was unique among european lenders for losing 38 of its customer deposits in the last quarter of 2022 theres no other bank that has had the deposit outflows like at credit suisse i think what the market is concerned about is how those deposit outflows will have accelerated in recent weeks he added credit suisse has had tumultuous few years battling various scandals and controversies  one of the banks most significant issues was the fallout from its involvement with the collapsed supply chain finance firm greensill capital  credit suisse had invested heavily in greensill and marketed its funds to clients but the firm collapsed in 2021 leaving credit suisse and its customers with 17 billion in losses and reputational damage shortly after the default at hedge fund archegos capital resulted in another 55 billion loss for the swiss investment bank the fallout from these and other controversies led to a decline in investor and customer confidence in credit suisse with the bank losing billions of dollars in deposits impact on the european banking sector norris also said a potential closure of the swiss lender could impact the broader european banking sector due to its size and classification as a systemically important bank the biggest of the three us banks that have failed so far in march had more than 200 billion in assets in comparison credit suisse reported in 2022 assets worth more than 572 billion about twice as much as the former wall street banking giant lehman brothers had when it failed in 2008 he also predicted contagion hitting real estate and private equity industries which look vulnerable from whats going on in financial markets at the moment not everyone is as concerned about contagion though investment bank ubs told clients to invest in european banks over their american counterparts last weeks selloff was indiscriminate we will see this reverse in all regions near term said ubs strategists led by bhanu baweja on mar 13 but more medium term we maintain our preference for european over us banks this is driven by relatively lower valuations higher distribution yields greater probability of european central bank keeping rates higher for longer and few assetliability mismatches