Credit Suisse reveals $4.7B hit from Archegos chaos, replaces execs

Archegos Capital Management’s massive blowup cost Credit Suisse $4.7 billion, the Swiss bank revealed Tuesday as it pushed out two top executives in the scandal’s wake.

Credit Suisse said it expects to post a roughly $959 million loss for the first quarter following the giant margin call that forced Archegos — the family investment office run by hedge-fund veteran Bill Hwang — to reportedly sell more than $20 billion worth of stock. That loss includes a nearly $4.7 billion charge the bank expects to take “in respect of the failure by a US-based hedge fund to meet its margin commitments,” Credit Suisse said without identifying Archegos by name.