Wall Street, GameStop fever: the challenge of small traders to Hedge Funds
Hedge fund on the run from Deutsche Bank: stock falls but CEO Cryan reassures: "We are serene"
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March 29, 2021 The Japanese banking giant Nomura announced that on March 26 "an event occurred" that could entail "a significant loss" for one of its US subsidiaries, generated "by a transaction with a customer".
Nomura, explains a note, "is currently evaluating the extent of the possible loss and the impact it could have on financial results" and currently estimates that it can "claim damage from the customer of approximately $ 2 billion".
On the stock market, the stock was overwhelmed by sales, the Japanese bank closed the session on the Tokyo Stock Exchange with a record loss of 16.3%.
According to rumors, the loss is linked to Bill Hwang's Archegos Capital Management hedge.
Nomura points out that it has a Cet1 of 17% and does not have "problems related to operations or financial solidity".
Credit Suisse also admits losses on hedge funds
Credit Suisse, like Japan's Nomura, also admits to having reported "very significant losses" resulting from exposure to an anonymous US hedge fund.
The Swiss group underlines in a note that it cannot yet quantify exactly the damage that will affect the results of the first quarter.
Credit Suisse stocks are down 7% in pre-market opening