What banks earn from negative deposit interest rates in Switzerland
At year-end 2021, banks in Switzerland had more than a trillion of client deposits in Swiss francs on their balance sheets. The vast majority of these deposits is bearing no…
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Ban of Russia from Swift – what are the risks for the banking system?
Following the decision to exclude Russian banks from the international payment system Swift as part of the sanctions against Russia to defend democratic values, we aim to shed some light…
Recent jumps in FAANG stocks indicate vulnerabilities for banks
Last week, the shares of US tech giants Amazon and Facebook owner Meta Platforms showed exceptional price swings. Both shares are widely held by hedge funds. According to Reuters, eight…
Orbit36 to present at U.S. Stress Testing Conference
I feel honored to be invited as speaker to the “3rd Annual Best Practices for Stress Testing in Financial Institutions” conference in New York. This premier GFMI event brings together…
Is collateralized lending the trigger for the next stock market crash?
The collapse of two Bear Stearns hedge funds in July 2007 is in hindsight often seen as the first warning signal of the approaching financial crisis. Possibly, the default of…
Orbit36 cited in the Wall Street Journal
Orbit36 and Andreas Ita feel very honored to be quoted in the September 22, 2021 edition of the Wall Street Journal. The excellent article “Credit Suisse’s Archegos Disaster Exposes Cracks…
Credit Suisse’s Archegos case – fundamental questions remain unanswered
Following the $5.5bn loss with hedge fund Archegos, the Board of Directors of Credit Suisse appointed a Special Committee to conduct an independent external investigation of the case. The results…
Did the UK regulator disable the alert system on Archegos trades?
Prime brokerage is a global business. Investment banks and their clients will always arrange their trades in the jurisdictions that are most favourable to them. According to media reports, Archegos…
Orbit36 presence at 24th Annual Bank Capital Management Conference
We are grateful that Orbit36 was invited again this year to the Marcus Evans Annual Bank Capital Management Conference. This industry-leading event includes mainly speakers from banks, banking supervisors and…
Archegos case reveals flaws in RWA calculation and Stress Testing methods
The large losses of some banks in their derivatives transactions with hedge fund Archegos indicate serious shortcomings in regulatory capital regulation and stress testing methods for collateralized OTC derivatives according…