How Morgan Stanley Sped Up U.S. Block-Trading Probe

The transcript discusses a federal investigation into irregularities in Wall Street's block trade market, focusing on potential information leaks by banks to favored hedge fund clients. The investigation, which began in 2018, gained momentum following the collapse of Archegos Capital Management. Authorities are examining whether banks like Morgan Stanley engaged in illicit activities during the unwinding of Archegos' positions, which resulted in significant market disruption.

What specific actions are regulators trying to uncover regarding banks and hedge funds?

What impact did the Archegos collapse have on the market and subsequent investigations?