We’re going to hear a lot about equity total return swaps over the next couple of days but let me take a second to point out how extremely normal they are and how unsurprising it should be to find out that Archegos was using them.
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Even if you have a TRS on a basket of stuff that is extremely specific to your needs, it doesn’t make a difference to liquidity as long as the broker you bought it from can transact in the names to replicate the basket.
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