Recently moved all my money out of stocks (Vanguard index funds) and back into Bonds.
Good timing - from Russia Today:
Global banks bracing for losses amid US hedge fund collapse
World banks may lose over $6 billion from the downfall of the US investment firm Archegos Capital, sources told Reuters. Regulators are closely monitoring the situation as panic spreads about the possible scale of the fallout.
The sudden liquidation of the New York-based billionaire Bill Hwang’s Archegos Capital Management ignited a fire sale of more than $20 billion in assets that has left some of the world’s biggest investment banks bearing billions of dollars of losses.
According to billionaire investor Mike Novogratz, the collapse of Hwang’s Archegos fund could turn out to be “the most spectacular personal loss of wealth in history.”
The problems started last week when a disappointing stock sale by media giant ViacomCBS triggered devastating bank margin calls for Archegos, three people familiar with the matter said. Shares in ViacomCBS plummeted 23% last Wednesday after the media company sold shares at a price that diluted its value. The shares continued to decline, setting off alarm bells at Archegos’ prime brokers and prompting them to offload stock in all of Archegos’ investments.
Just love love LOVE that last paragraph. ViacomCBS owns Paramount Pictures, CBS, Nickelodeon, Miramax, BET, MTV, Showtime. Looks like people are not into "big media" very much these days. Maybe, just maybe if they produced something that we wanted to watch... Not watching WOKE TV - that is for sure.
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