Refinitiv Newscasts - UBS faces penalty over Credit Suisse failings - FT

Annaly Capital Management

20/06/2023 11:01

Click the following link to watch video: https://share.newscasts.refinitiv.com/link?entryId=1_5x8lnukh&referenceId=tag:reuters.com,2023:newsml_RW123520062023RP1_930&pageId=RefinitivNewscasts
Source: Reuters

Description: UBS Group faces hundreds of millions of dollars in penalties over
Credit Suisse's mishandling of Archegos Capital, after UK, Swiss and U.S.
regulators completed their investigations, the Financial Times reported on
Monday (June 20). Francis Maguire reports.
Short Link: https://refini.tv/43M72Nr

Video Transcript:

UBS could pick up a huge bill for Credit Suisse's failings. Britain's
Financial Times reported Monday the Bank faces hundreds of millions of dollars
in penalties. It's over Credit Suisse’s mishandling of the collapsed
Archegos Capital. Britain could impose a fine of around $128 million, while
the US could go up to $300 million according to the paper. Credit Suisse had
reportedly set aside just $35 million for potential levies. UBS completed its
emergency takeover of its Swiss rival last week. The collapse of Archegos
caused billions of dollars in losses for Credit Suisse. The Capital Management
firm fell apart due to its founder’s aggressive use of financial
instruments meant to boost the effective size of his market positions. UK,
Swiss and US regulators have completed their investigations into the matter,
The FT said UBS asked regulators from each country to publish their findings
and announce penalties jointly at the end of July. A presentation showed UBS
set aside $4 billion for potential lawsuits on the Credit Suisse deal in May.
The US Federal Reserve declined to comment. UBS and British and Swiss
regulators did not immediately respond to requests for comments