Bill Hwang

From Wikipedia, the free encyclopedia
Not to be confused with Bill Huang, founder of CloudMinds.

Bill Hwang (Korean: 황성국) is an American New York-based investor on Wall Street.[1][2] The Wall Street Journal reported that Hwang lost US$20 billion over the course of ten days in late March 2021, imposing large losses on his bankers Nomura and Credit Suisse.[3]

Education and career[]

Hwang holds an economics degree from UCLA and an MBA from the Tepper School of Business at Carnegie Mellon University.[4] He is the co-founder of the Grace and Mercy Foundation, a charitable organization. In 2018, the foundation had more than US$500 million in assets.[5] Hwang's offices are located in Manhattan.[6]

Career[]

Hwang began his career at in New York, after which he worked at the now defunct Peregrine. At Peregrine, he met Julian Robertson as one of his clients. Hwang went to work for Robertson's Tiger Management. Robertson closed his hedge fund in 2000 but handed Hwang about $25 million to launch his own fund, Tiger Asia Management, which grew to over $5 billion at its peak.[1] Robertson’s former proteges are known as the Tiger Cubs, and Hwang was considered one of the most successful among them.[6] Tiger Asia suffered heavy losses in the Great Recession.[7]

In 2012, Tiger Asia Management and Hwang paid a $44 million settlement to the U.S. Securities and Exchange Commission in relation to insider trading.[8][9]

In 2014, Hwang was banned from trading in Hong Kong for four years.[6]

Archegos Capital Management[]

In 2012,[10] Hwang closed Tiger Asia Management, and opened a family office, Archegos Capital Management,[1] which managed US$10 billion of family money. As a family office, they were less regulated than as a hedge fund.[8]

In March 2021, the losses at Archegos Capital Management triggered the default and liquidation of positions approaching $30 billion in value, leading to substantial losses to Nomura and Credit Suisse, as well as Goldman Sachs and Morgan Stanley[8][11] The firm had large positions in ViacomCBS, Baidu, Vipshop, Farfetch, and others.

Credit Suisse exited its prime brokerage business as a result of losing $5.5 billion.[12] Archegos had a 20% share of Texas Capital Bancshares Inc., and their share increased 93% then plunged after Archego's collapse.[13]

Before the losses, Hwang was believed to be worth $10 billion–$15 billion with his investments leveraged 5:1.[6]

Personal life[]

Hwang is a devout Christian. His father was a pastor.[5] Hwang and his wife reside in Tenafly, New Jersey.[14]

See also[]

References[]

  1. ^ a b c Who Is Archegos Fund Manager Bill Hwang?
  2. ^ Chatterjee, Lawrence Delevingne, Matt Scuffham, Sumeet (2 April 2021). "Seduced by Archegos' growth, Nomura took a chance on Hwang comeback". Reuters. Retrieved 3 April 2021.
  3. ^ Zuckerman, Gregory; Chung, Juliet; Farrell, Maureen (April 1, 2021). "Inside Archegos's Epic Meltdown". The Wall Street Journal. Retrieved 2 April 2021.
  4. ^ GmbH, finanzen net. "The man at the heart of the Archegos fiasco is a 'Tiger cub' and devout Christian who pleaded guilty to insider trading. Meet Bill Hwang". markets.businessinsider.com. Retrieved 2021-12-08.
  5. ^ a b Delevingne, Lawrence. "Comeback quashed for faith-driven investor Bill Hwang". www.reuters.com. Reuters. Retrieved 30 March 2021.
  6. ^ a b c d Celarier, Michelle. "The Two Tiger Cubs at the Center of Friday's $35 Billion Meltdown". www.institutionalinvestor.com. Institutional Investor. Retrieved 30 March 2021.
  7. ^ Jannarone, John (March 29, 2021). "Behind the Archegos Meltdown: How Banks Quickly Got Religion about Bill Hwang". Yahoo!.
  8. ^ a b c Yamazaki, Makiko; Revill, John; Scuffham, Matt. "Global bank losses may top $6 billion on Archegos downfall". www.reuters.com. Reuters. Retrieved 30 March 2021.
  9. ^ "Bill Hwang guilty of illegal trading at Tiger Asia Management". www.scmp.com. Retrieved 30 March 2021.
  10. ^ https://www.institutionalinvestor.com/article/b14zpnzrl0m72f/familiar-tale-as-high-flying-bill-hwangs-tiger-asia-closes
  11. ^ Bray, Chad. "Investment banks warn of 'significant' losses following margin calls related to Tiger Asia Management founder's family office". www.scmp.com. Retrieved 30 March 2021.
  12. ^ "Credit Suisse to exit prime brokerage following Archegos Capital losses".
  13. ^ "Bill Hwang Made a Huge, Secret Bank Bet Before Archegos Collapse".
  14. ^ "'He never struck me as a big risk-taker': Bill Hwang's big bet blows up".
Retrieved from ""