ZURICH – Credit Suisse said Tuesday that it had taken a $4.7 billion hit from its links to troubled hedge fund Archegos Capital Management, cut dividends and announced the departure of two senior executives.
The Swiss bank and Japan’s Nomura warned last month that they could face significant losses due to their exposure to a US hedge fund forced to liquidate its holdings.
“The significant loss in our Prime Services business relating to the failure of a US-based hedge fund is unacceptable,” CEO Thomas Gottstein said in statement.
Bloomberg News has reported that the fund was little-known Archegos Capital Management, which sold more than $20 billion in stocks…
