If you haven’t heard the name Bill Hwang yet, you will soon.
A protege of legendary hedge fund manager Julian Robertson, Bill founded the family office hedge fund Archegos Capital Management 8 years ago.
But that fund just went up in smoke after Bill committed a massive blunder.
See, Archegos was holding highly leveraged positions in several large-cap stocks.
I’m talking about over $80 billion in exposure with only $15 billion in assets under management.
That means the fund was leveraged at more than 5 to 1.
Now that’s a great position to be in when stocks are going up.
But when things start to go south, it gets ugly real quick.
That’s exactly what happened to ol’ Billy.
Last week’s falling stock prices triggered a margin call by the fund’s prime brokers.
When Bill was unable to come up with the cash, brokers liquidated the positions in an attempt to recover their losses…
Which led to some steep, steep declines in those stocks.
Many fell by 50% or more.
And while there’s no silver lining for Bill or the investors whose money he lost, this situation has opened up some premium buy opportunities on these stocks that are now trading at a significant discount.
I’ve just alerted my Precision Volume Alerts members to TWO of these primo opportunities that are checking all the right boxes…
P.S. Keep an eye out in the video for a guest appearance by my new trading protege…