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Morgan_Stanley_NYC

Morgan Stanley Sold $5B in Archegos Shares Night Before News Hit That the Private Investment Firm Was About to Collapse…

April 7, 2021 at 7:42 pm

Morgan Stanley sold roughly $5 billion in shares from Archegos late on Thursday March 25 before news of the doomed private investment firm was made public…Archegos, run by former Tiger Management analyst Bill Hwang, was fully aware that Morgan Stanley was looking to unload its stock along with Goldman Sachs…

Wall Street

Rehypothecated Leverage: How Archegos Built a $100 Billion Portfolio Out of Thin Air… And Then Blew Up…

April 7, 2021 at 5:22 pm

One week after the biggest, and most spectacular hedge fund collapse since LTCM, we now have an (almost) clear picture of how Bill Hwang’s Archegos family office managed to single-handedly make a boring media stock the best performing company of 2021, but then when its luck suddenly ended it was margin called into extinction, leading to billions in losses for the banks that enabled what Bloomberg has dubbed its “leveraged blowout.”…

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