Shares in Credit Suisse and Nomura Holdings are sharply trading down this morning as the large investment banking groups warned they could face upwards of millions in losses linked to the collapse of hedge fund Archegos Capital Management (ACM). Losses surfacing at ACM over the past several days have prompted the liquidation of positions valued at approximately $30 billion, and the U.S.-based hedge fund’s default on margin calls made with Credit Suisse and Nomura could result in billions of losses as the investment banks go through the process of closing the margin positions. According to an article in the Wall Street Journal, Credit Suisse stated that it is still too early to quantify the impact of the margin call default but that losses could be “highly significant and material” to first quarter results. Credit Suisse and Nomura are not the only banking groups to be impacted by the fund sell off; Morgan Stanley, Goldman Sachs, and Deutsche Bank have also been linked to ACM as the banks served as prime brokers to the hedge fund and were involved in unloading large trade blocks tied to ACM late last week, most notably involving the media companies ViacomCBS and Discovery along with a number of Chinese technology stocks. It appears that ACM’s fund allocation was heavily concentrated to a number of high beta stocks, and there are no signs at present to suggest the hedge fund’s downfall poses any serious systemic risk to the financial system. So far, the recent sell off in these companies has not trickled down to the broader market with the S&P 500 broadly unchanged since Friday’s close.