Global banks warn of possible losses from hedge fund default
The Hindu
Credit Suisse didn't identify the ‘significant’ hedge fund or the other banks affected
Swiss bank Credit Suisse said Monday it may have suffered a “highly significant” loss from a default by a U.S.-based hedge fund on margin calls that it and other banks made last week, while Japan's Nomura said it could face a loss of $2 billion due to an event with a U.S. client. Credit Suisse didn't identify the “significant” hedge fund or the other banks affected, or give other details of what happened. News reports identified the hedge fund as New York-based Archegos Capital Management. “Following the failure of the fund to meet these margin commitments, Credit Suisse and a number of other banks are in the process of exiting these positions,” the company said.More Related News