Archegos Mulls All Options After Debacle

The transcript discusses the market turmoil caused by Bill Wong's positions, particularly Viacom, and the subsequent actions by banks like Goldman Sachs. It highlights the impact of block trades on the market, the scale of leverage involved, and the potential for significant losses. The discussion also covers the use of swap trades, regulatory concerns, and the need for more scrutiny on large funds like Archegos.

What was the primary reason for the initial panic among banks?

• A major cyber attack on financial systems

• Goldman Sachs conducting large block trades

• A sudden increase in interest rates

• A new government regulation

What was the estimated scale of leverage involved in the trades discussed?

• $50 to $100 billion

• $5 to $10 million

• $50 to $100 million

• $5 to $10 billion

What is a swap trade primarily used for?

• To reduce interest rates

• To avoid paying taxes

• To transfer exposure between parties

• To increase stock prices

What was controversial about Archegos' use of swaps?

• They were illegal in the US

• They were used to avoid reporting positions

• They caused a global financial crisis

• They were a new financial instrument

What potential regulatory change is suggested for family offices?

• They should be taxed at a higher rate

• They should be allowed to use more leverage

• They should report more to the SEC

• They should be exempt from all regulations