Fed and Bank of England Review Bank Exposure to Jane Street
- —Fed and PRA are probing bank exposure to Jane Street and Citadel Securities
- —Situational Awareness lost roughly 78% in July and sold its public portfolio
- —Citadel bought the fund's portfolio at about a 10% discount within 24 hours
- —Regulators are reviewing intraday risk and the effectiveness of bank controls
Why it matters: The probe could tighten prime-brokerage rules and curb leverage available to major trading firms.
Source: DiarioBitcoin