It is impossible to understand how so many of the world’s biggest banks lost so much with a secretive family office called Archegos Capital that speculated in the stock markets with huge financial arrangements provided by these banks.
The banking supervisors in the US, Japan and Switzerland appear to have been totally incompetent or unable to control what was going on right under their noses.
The bigger question is what else are they missing…
The banks involved are Credit Suisse (USD 4.7 billion loss), UBS (USD 774 million), Nomura (USD 2 billion), and Morgan Stanley (c. USD 1 billion). Other banks like Mizuho and Goldman Sachs were involved but have not published any detailed comments on their profits or losses.
For readers who want to see the whole picture listen to this excellent podcast that is available here at the Grey Journal.
