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Archegos crisis: 10 things to know about former Tiger Asia manager Bill Hwang

Hwang has an economics degree from UCLA and an MBA from Carnegie Mellon

March 31, 2021 / 06:02 PM IST

The man at the centre of Archegos' debacle, Bill Hwang, is once again making headlines after pleading guilty to insider trading in 2012 that wounded up his firm Tiger Asia.
Reportedly, after failing to meet demands of 'margin call' from several banks, Hwang's family office, Archegos Capital Management, led to an offloading of $20 billion of shares to meet the margin call. The fire sale led to a sharp fall in prices of stocks including ViacomCBS and Discovery. Here are 10 things to know about Bill Hwang.

  1. Known to be deeply religious, Hwang believes that God loves as he invests in companies that "advance human society." In a 2018 interview, Hwang said that "God certainly has a long term view and it's really helping a lot of people learn how to invest well and use capitalism to help human society advance."

  2. Hwang revealed in another 2018 interview that his father was a Church pastor and his mother worked as a missionary in Mexico. He said that he was raised as a devout Christan.

  3. Reportedly, he is also associated with Christian organisations Grace and Mercy Foundation, Focus on the Family and Fuller Theology Seminar, a Business Insider report said.

  4. Hwang has an economics degree from UCLA and an MBA from Carnegie Mellon.

  5. After working as a stock salesman, Hwang became a 'Tiger cub' at American billionaire hedge fund manager Julian Robertson's Tiger Management. Following the closure of the fund, Hwang opened his own hedge fund, Tiger Asia management. According to the Wall Street Journal, the fund had assets over $5 billion.

  6. Hwang pleaded guilty to insider trading in 2012 that led to the closure of his firm. Hwang paid $60 million for civil and criminal charges of manipulating Chinese bank stocks.

  7. Tiger Asia was banned for four years from trading in Hong Kong after the transgressions came to light.

  8. After the closure of Tiger Asia, Hwang converted it into a family office, Archegos which is known to have become larger than the big hedge funds. The family office exempts Archegos from Securities and Exchange Commission's (SEC's) regulatory filings.

  9. According to the Wall Street Journal, Archegos managed nearly $10 billion of family money.

  10. According to a report in Forbes, there are no securities filings by Archegos on SEC’s repository for such filings, EDGAR (Electronic Data Gathering, Analysis, and Retrieval), despite the huge transactions undertaken by Archegos.
Moneycontrol News
first published: Mar 30, 2021 03:37 pm
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