What happens when your prime broker gets into trouble for losses unrelated to your firm? You get nervous, and the prime broker goes through a full review of outstanding risk and leverage, which in turn could come back to impact your fund. It’s no surprise that after the Archegos blow-up, both funds and their prime brokers are looking closely to best mitigate unnecessary exposures.
This content requires a Finadium subscription. Articles with an unlocked symbol can be accessed with free registration. Log in or create a free account by signing up here..
