Photographer: Michael Nagle / Bloomberg
Photographer: Michael Nagle / Bloomberg
Morgan Stanley sold $ 5 billion worth of shares a day before Archegos Capital Management sent a torrent of blockchain trading across the capital markets.
According to a person with knowledge of the case, the sale of the basket was finalized on March 25 at a fixed discount, asking not to be identified and discussing the private transactions.
The Wall Street bank sold shares owned by Bill Hwang’s family office to about 10 companies after the market closed, mainly to hedge funds, the person said. CNBC reported earlier Tuesday on the size of the stock sale.
Morgan Stanley’s earlier bid for the exits has helped the firm emerge largely unscathed from a fund outburst that has caused billions in losses at other banks. Credit Suisse Group AG announced a The $ 4.7 billion write-off was linked to the exposure to Archegos, and Nomura Holdings Inc. said he could pass up to as much as $ 2 billion.
Morgan Stanley was one of the early supporters of the family office despite the legal injury linked to Hwang. He was accused by insider trading authorities and in 2012 pleaded guilty to fraud on behalf of his hedge fund, Tiger Asia Management.
A Morgan Stanley spokesman declined to comment.
Read more: Credit Switzerland Bidding for Correction of Archegos Ends with Banks
– With help by Sridhar Natarajan