The battering to Wall Street banks from Archegos Capital Management topped $10 billion after UBS Group AG and Nomura Holdings Inc. reported fresh hits caused by the fund’s collapse, the Wall Street Journal reported. UBS, Switzerland’s biggest bank by assets, said it lost $774 million following Archegos’s implosion, a bigger hit than analysts expected, deepening the damage caused by the fund. Meantime, Japan’s Nomura, which flagged losses of around $2 billion last month, upped its total damage tally to $2.85 billion.
Credit Suisse said today that it will take a 4.4 billion Swiss franc ($4.7 billion) hit from dealings with Archegos Capital Management, prompting it to overhaul the leadership of its investment bank and risk divisions. The scandal-hit bank now expects to post a loss for the first quarter of around 900 million Swiss francs. It is also suspending its share buyback plans and cutting its dividend by two thirds. Switzerland’s No.
Almost half of Swiss companies in the restaurant and hospitality sector are at risk of bankruptcy by the end of March without state aid to face the consequences of the restrictions imposed by the fight against COVID-19, warned Sunday the representative federation of the sector, the Inspired Traveler reported. The Swiss government is likely to extend this week the closure of bars, restaurants and entertainment venues across the country until the end of February, with hopes of rolling back the still high number of COVID-19 cases and of deceased.