UBS-Credit Suisse merger was the right move: Analyst

UBS's (UBS) $3 billion dollar bid to buy Credit Suisse (CS) has rocked the banking space. Shares of Credit Suisse had its largest one-day fall since 2008 as anxiety continues to spread.

RBC Capital Markets Managing Director Gerard Cassidy explained to Yahoo Finance Live why this could have a positive outcome for financial stability.

"It's taken a huge step forward to improving it...This is a very big deal," he says. "This moves us much closer to more financial stability," he adds. "As each day and each week goes by, and the stability improves, it will show that this was the right move by the Swiss National Bank," he continues.

When asked about Credit Suisse being a profitable asset to UBS's business, Cassidy says though it will take time, these types of deals "can be very profitable" to the acquirer and its shareholders.

You can watch Julie Hyman and Brad Smith's full interview with Gerard Cassidy here.

Key Video Moments:

00:00:10 - Huge step toward financial stability

00:00:35 - This was the right move

00:01:08 - Credit Suisse buyout should be profitable for UBS

00:01:44 - These transactions can be very profitable