Credit Suisse Gave Archegos Big Leverage for Collateral
Credit Suisse Gave Archegos Big Leverage for Collateral This content was published on May 3, 2021 - 14:11 May 3, 2021 - 14:11 (Bloomberg) -- Credit Suisse Group AG’s business with Archegos Capital Management enabled the family office to undertake highly-leveraged stock bets with only minimal collateral posted, a strategy that exposed the lender to losses far exceeding its peers when the firm collapsed. Credit Suisse lent the family office of Bill Hwang funds allowing bets with leverage of up to ten times, and only asked for collateral worth 10% of the sums borrowed, according to a person fa...
Source: swissinfo.ch