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FRSB announces a consent order and a $268.5 million fine with UBS, for misconduct by Credit Suisse, which UBS acquired in June 2023
The Federal Reserve Board on Monday announced a consent order and a $268.5 million fine with UBS Group AG, of Zurich, Switzerland, for misconduct by Credit Suisse, which UBS subsequently acquired in June 2023. The misconduct involved Credit Suisse's unsafe and unsound counterparty credit risk management practices with its former counterparty, Archegos Capital Management LP. In 2021, Credit Suisse suffered approximately $5.5 billion in losses because of the default of Archegos, an investment fund. During Credit Suisse's relationship with Archegos, Credit Suisse failed to adequately manage the risk posed by Archegos ... (full story)