Bill Hwang created Archegos Capital Management. It was created as what is known as a family office, only running money from himself and close family. Eight years later, Archegos, a fund that very few in the financial markets had even heard of, would collapse spectacularly, causing $10bn in losses for its investment bank counterparties, and wiping out the entire $10bn of its own Assets Under Management that it held at the start of the year.
Key learning objectives:
How was Archegos formed?
What three main strategies undertaken by the fund led to disaster?
How did the holding of Viacom lead to catastrophe?