FTSE 100 Closed Slightly Up as BoE Raised Interest Rates to Highest Level in 27 Years morningstar.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from morningstar.com Daily Mail and Mail on Sunday newspapers.
Credit Suisse Could Face Further Archegos Impact This Quarter
This content was published on April 6, 2021 - 11:12
April 6, 2021 - 11:12
(Bloomberg) Credit Suisse Group AG could see further impact from the Archegos Capital Management blowup this quarter as it winds down residual positions.
While the Swiss bank has substantially reduced its exposure, the sale of about $2.3 billion worth of stocks via block trades this week didn’t affect the first-quarter figures, according to a person familiar with the matter. Any further impact from that and other swings in remaining positions would be booked in the second quarter, the person said, asking for anonymity to discuss internal information.
(Bloomberg) Credit Suisse Group AG is leaning toward letting clients foot the bill for eventual losses in funds that the bank ran with former billionaire Lex Greensill’s company, according to a person familiar with the matter. The bank considers that the risks around Greensill were known and the funds were only marketed to investors able to assess such risks, the person said, declining to be identified discussing private matters. The Zurich-based lender didn’t take any substantial loss due to Greensill in the first quarter. The bank’s stance runs counter to reports last month suggesting executives were considering compensating investors hit by the collapse of the funds. Credit Suisse marketed its popular supply-chain finance funds as among the safest investments it offered, because the loans they held were backed by invoices usually paid in a matter of weeks. But as the funds grew into a $10 billion strategy, they strayed from that pitch and much of the money was lent through G