Soros bought shares linked to Bill Hwang’s Archegos implosion – fr

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Soros bought shares linked to Bill Hwang’s Archegos implosion – fr


Billionaire George Soros’ investment firm bought shares of ViacomCBS, Discovery and Baidu as they were sold in massive blocks during the collapse of Bill Hwang’s Archegos Capital Management.
Soros Fund Management bought $ 194 million of ViacomCBS Inc., Baidu Inc. shares worth $ 77 million, as well as $ 46 million from Vipshop Holdings Ltd. and $ 34 million from Tencent Music Entertainment Group during the first quarter, according to a regulatory filing released Friday. A person familiar with the fund’s trading said the company did not own the shares before the implosion of Archegos.

Archegos, the family office of former hedge fund manager Hwang, collapsed in the last week of March after building up large leveraged positions in a concentrated portfolio of US and Chinese companies. At its peak, the family office had over $ 20 billion in capital and total wagers exceeding $ 100 billion.

Hwang was wiped out in just days after investments such as ViacomCBS and Discovery fell, triggering margin calls from global banks, who then sold the shares of the big blocks. The fiasco is expected to cost the financial industry around $ 10 billion, sparked an investigation by the U.S. Securities and Exchange Commission and made heads roll at Credit Suisse Group AG, where success exceeds $ 5 billion.

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