Swiss Watchdog Sees Lessons to Learn from Archegos Collapse
- Finma chief Branson flags risks from overheating in markets
- Credit Suisse losses cast shadow over his new role in Germany
Photographer: Philipp Zinniker/Finma
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Switzerland’s top financial regulator said the collapse of Archegos Capital Management LP will have consequences for how banks deal with risk as one of the country’s biggest lenders counts its losses from exposure to the investment firm.
“This will be meticulously examined and there will be lessons, maybe for regulators, maybe for the banks who were involved, maybe for supervisors,” Mark Branson, the head of Swiss regulator Finma, said Wednesday in Berlin. “It’s too early to say what, but it shows that there are enormous dangers in this market environment and a lot of leverage in some investor portfolios.”