💔 The broken bitcoin fund

Give a bank a break, Archegos | L'argent, c'est magnifique |

Hi Reader, here's what you need to know for April 7th in 3:09 minutes.

🍷 A bottle of wine or whiskey could be exactly what you need to keep a clear head when markets get woozy. So join us for our Investing In Wine And Whiskey event on Friday, and raise a glass to this vintage alternative investment. Get your – *hic* – ticket

Today's big stories

  1. Investment bank Credit Suisse revealed a $4.7 billion loss following the collapse of Archegos Capital Management
  2. The world’s biggest bitcoin fund might offer a cheap way to buy into the cryptocurrency – Read Now
  3. Air France-KLM is set to receive almost $5 billion in aid from the French government

Reaction Stations

Reaction Stations

What’s Going On Here?

Every action has an equal and opposite reaction, and this one’s a doozy: investment bank Credit Suisse revealed a $4.7 billion loss following the blow-up of Archegos Capital Management.

What Does This Mean?

If the name “Archegos” rings a bell, it’s because the investment firm hit the headlines last week after dumping its holdings to cover losses from a few ill-advised bets. And since the company had been paying for them by borrowing heavily from the world’s banks, those same banks could now be facing $10 billion worth of losses – almost half of which has fallen on Credit Suisse’s shoulders.

That’s expected to push the firm to a $1 billion loss last quarter, and could help explain why it’s trying to preserve its cash by cutting its dividend and freezing share buybacks. And considering this is the second time in the last few months that the bank’s short-sighted lending has led to big losses, the firm announced it’s replacing the heads of its risk and investment banking departments too. Go figure.

Why Should I Care?

For markets: Watch for banks’ earnings later this month.
Credit Suisse won’t be the only bank with an Archegos-shaped stain on its balance sheet, but at least the sector’s had a strong quarter otherwise. Banks’ trading departments have benefited big from market volatility and record trading volumes, while their investment banking segments have done brisk business from a record number of mergers and acquisitions. Exactly how brisk will become clearer when they report earnings later this month…

The bigger picture: Interest rates take with one hand, give with the other.
Investors might’ve been spooked by rising long-term bond yields last quarter, but banks were much more upbeat about them. See, short-term bond yields stayed relatively flat, and since banks borrow money at short-term rates and lend money at long-term rates, a wider gap between the two means banks were able to pocket more profit (tweet this).

Copy to share story: https://www.finimize.com/wp/news/reaction-stations/

🙋 Ask a question

2. Analyst Take

The World’s Biggest Bitcoin Fund Is Broken

What’s Going On Here?

With a market capitalization of over $35 billion, the Grayscale Bitcoin Trust is the world’s biggest bitcoin investment fund.

And since it’s a good way for institutional investors to get their hands on the crypto, the fund’s shares have consistently traded at a premium relative to bitcoin’s value.

But not any more: the value of the fund sank to a record low relative to its bitcoin investments late last month, and it’s not managed to recover since.

That means Grayscale could be an interesting way for you to invest in bitcoin at a discount, but only if – and this is a big “if” – the fund can bounce back.

That rebound might not depend on bitcoin’s own movements either: buying into a fund meant to replicate an asset doesn’t necessarily mean one-to-one exposure to that asset’s price.

So that’s today’s Insight: if the Grayscale Bitcoin Trust really is a cheap way to buy into bitcoin, and what it’ll take for the fund to bounce back.

Read or listen to the Insight here


Your passport to the decentralized web

You know how popular the blockchain is – just look at cryptocurrencies.

But the decentralized web is about more than crypto: there’s a whole world of blockchain-based applications out there. And that’s what MetaMask gives you access to.

With MetaMask, you’ll be able to securely access, store, and share digital assets like NFTs, participate in crypto and decentralized finance, and even play next-generation Web3 games: it’s a digital wallet and a gateway to blockchain apps.

And you’ll always be in total control: you’re the only one with access to your account and your assets. That’s probably why MetaMask is already trusted by more than three million people.

Download the app today and connect to the decentralized web.

Get MetaMask

Please support our sponsors

In Case Of Emergency

In Case Of Emergency

What’s Going On Here?

European regulators agreed on Tuesday to let the French government give Air France-KLM almost $5 billion in aid – just what it needs to stay calm in a crisis.

What Does This Mean?

Air France-KLM almost seems bound to run out of money eventually: the airline’s been burning through almost $12 million every day, and international travel isn’t exactly taking off. But thanks to a second rescue package courtesy of the French government, it’s kept the wolf from the door for a while longer.

The bailout does come with some caveats, mind you – namely that Air France-KLM can’t go spending the cash on bonuses, dividends, or share buybacks until the money’s repaid. The French government has its own rules to stick to, agreeing with European legislators that it would cut its stake in the airline – as much as 30% – back to pre-pandemic levels by 2027.

Why Should I Care?

Zooming in: Low-cost airlines have better odds. 
There’s another trade-off Air France-KLM will need to make: the airline has to sell 4% of its Paris-Orly airport time slots to airlines whose aircraft are based there, which doesn’t include many low-cost carriers. They might not be happy about that, but it’s not like they have much competition from the big carriers right now: not only do budget airlines have lower operating costs, they also specialize in leisure travel – a market that’s recovering faster than business flights.

Zooming out: US travel is on the up again. 
Rising coronavirus infections might be ruining European travel, but new analysis found that US travel demand had risen to half 2019’s levels by mid-March – the highest since the pandemic began. It even estimated that US domestic air travel will have fully recovered by early next year, with business and international travel to follow in 2023. That’s a lot quicker than expected, and suggests stimulus checks and vaccine rollouts might already be paying off.

Copy to share story: https://www.finimize.com/wp/news/in-case-of-emergency/

🙋 Ask a question

💬 Quote of the day

“Always be smarter than the people who hire you.”

– Lena Horne (an American dancer, actress, singer, and civil rights activist)
Tweet this


Let’s face it: presentation matters

Slick-looking decks put your work in the best light – that’s a fact.

But you’ll be glad to hear the days of fiddling around to create them from scratch are over. With Pitch, you can produce a top-quality professional deck in a fraction of the time.

See, Pitch have over 50 templates to choose from: financial reports, pitch decks, team meetings, the lot – all professionally designed, and all free. Just pick one and pass it off as your own.

That means no more hours spent wrestling with formatting or battling with design: simply point, click, and create.

You can even upload fonts, set colors, and customize each template to fit your brand, and your team can collaborate on decks in real time.

That’s probably why more than 25,000 teams already use Pitch: join them today.

Try Pitch Free

Please support our sponsors

🌍 Finimize Events

💸 Farewell, cash

A long time from now, you might be looking wistfully off into the distance and thinking back to the days it was normal to hand out paper with kings and presidents printed on them. But not before profiting from the shift: head down to The Surge In Digital Payments, and invest in a sector that’s only going in one direction.

👀 How To Spot The Next Bitcoin: 12pm NYC time, April 7th
💵 The Surge In Digital Payments: 6pm UK time, April 8th
🍷 Investing In Wine And Whiskey: 6pm UK time, April 9th
💆 Control Your Emotions, Control Your Trading: 6pm NZ time, April 12th
😎 Making An Impact With Your Capital: 4pm UK time, April 15th
🔥 The Three Most Important Trading Signals: 6pm UK time, April 20th
👩‍🎨 Are NFTs A Digital Bargain Or Bubble?: 2pm UK time, April 21st
💡 Investing In Small-Medium Cap Stocks: 6pm UK time, April 21st
🏡 The Pros And Cons Of REITs And Real Estate: 1pm UK time, April 22nd
📈 How To Inflation-Proof Your Portfolio: 6pm UK time, April 22nd
🚀 Space: The Final Investment Frontier: 6pm UK time, April 27th
💰 Crowdfunding Club: 1pm NYC time, April 28th
🛢 The Energy Sector’s New Direction: 4pm UK time, April 29th
🔪 How To Cut Through The Spin: 6pm UK time, April 29th
👋 Live Q&A With CEO Max Rofagha: 1.30pm UK time, April 30th

📚 What we're reading

  • Meat is still on the menu (Eater)
  • COVID: not a moral problem (Mother Jones)
  • The answer to your parking dilemmas (Mint)
❤️ Share with a friendYour Referrals: 0

Thanks for reading Reader. If you liked today's brief, we'd love for you to share it with a friend. If they sign up on your unique link, you’ll earn some sweet swag.

Share your unique link:


You stay classy, Reader 😉

We’d love to hear your thoughts. Give feedback

Want to advertise with us too? Get in touch

Image Credits:

Image credits: Mockaroon @mockaroon - Unsplash sixninepixels - Shutterstock | Artemidovna, Mabeline72, Marian Weyo, Fer Gregory, Stanislaw Tokarski - Shutterstock


Update your email or change preferences

View in browser

Unsubscribe from all Finimize Emails


Crafted by Finimize Ltd. | Third Floor, 1 New Fetter Lane, London, EC4A 1AN, UK.

All content provided by Finimize Ltd. is for informational and educational purposes only and is not meant to represent trade or investment recommendations. You signed up to this mailing list at finimize.com or through one of our partners. © Finimize 2021

View Online

Older messages

⚠️ Found: value opportunities

Monday, April 5, 2021

Growth vs value | Emerging markets have emerged | Finimize Hi Reader, here's what you need to know for April 6th in 2:59 minutes. 🎉 We'll be back bright-eyed and bushy-tailed with your next

🇺🇸 The Fed is (not?) in control

Sunday, April 4, 2021

Eagle-eyed investors | Investors go green TOGETHER WITH Hi Reader, here's what you need to know for April 5th in 3:10 minutes. 🌱 We have a couple of days off in the UK, so we'll be taking the

📉 A new accounting scandal

Thursday, April 1, 2021

Things are getting better | Things are getting worse | Finimize Hi Reader, here's what you need to know for April 2nd in 3:01 minutes. 🥚 We're taking a break for the Easter weekend, so look out

🦘 Deliveroo's stock market crash

Wednesday, March 31, 2021

Not what investors ordered | There's no point stock picking | TOGETHER WITH Hi Reader, here's what you need to know for April 1st in 3:06 minutes. 👋 Come find the official Finimize Club on

📉 The chips are down

Wednesday, March 31, 2021

Apple's at risk | The state of real estate | TOGETHER WITH Hi Reader, here's what you need to know for March 31st in 2:54 minutes. 🤔 Curious about markets, stocks, or opportunities we haven

You, your besties, talking about $$

Monday, June 21, 2021

Enter to win an Ellevest Money Talk Party. ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

FTT Update: Fintech's Direct Path to (Wise)dom

Monday, June 21, 2021

​ ​ Hi all, Julie here. Hope everyone had a great weekend! We're having quite the heat wave here in Austin, which everyone obviously warned me would happen. Thankfully finding a pool is pretty easy

Mark Your Calendar: This Week's Lineup

Monday, June 21, 2021

Including: Career checkups, summer spending, and more. ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

🏅 Goldman's commodity play

Sunday, June 20, 2021

Finimize gets spooky | Groceries deliver | TOGETHER WITH Hi Reader, here's what you need to know for June 21st in 3:07 minutes. 👴 This ain't your daddy's 60/40 portfolio. Join

Longreads + Open Thread

Saturday, June 19, 2021

Logistics, History (x2), Privacy, Softbank, Bell Labs ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

Introducing the New Money

Saturday, June 19, 2021

We Have a Fresh Look and New Features June 19, 2021 Hello Money Readers! For the last 18 months, we have been investing heavily behind the scenes to bring you the newest chapter in our storied history

Hazardous to your health

Saturday, June 19, 2021

Bloomberg Follow Us Get the newsletter The return-to-office trickle is becoming a steady flow back into plastic-lined cubicles. Goldman Sachs unveiled the most aggressive Wall Street effort yet to

Drivers Got More Reckless During COVID-19. Now, Your Car Insurance Rates May Rise as a Result

Saturday, June 19, 2021

The good news: There are ways to lower your costs. June 19, 2021 INSURANCE Drivers Got More Reckless During COVID-19. Now, Your Car Insurance Rates May Rise as a Result The good news: There are ways to

Fed sends investors fleeing

Friday, June 18, 2021

Bloomberg It was another rough day for US markets. The S&P fell 1.9% in the biggest weekly drop since February, extending a bout of volatility ignited by surprise hawkishness at the Federal Reserve

How a Delay of Just One Year Affects Your Retirement Savings

Friday, June 18, 2021

Public Servant Student Loan Forgiveness delays June 18, 2021 At the beginning of my career, I made so little that I didn't participate in the 401(k) of the small community newspaper where I worked.