Shadow Lenders Cast a Dark Spell Over Global Finance The collapse of Market Financial Solutions (MFS) has sent shockwaves through the financial services sector, echoing the collapse of First Brands last year.
The ripple effects of niche credit market stress can spread far beyond their borders, as regulators and investors on both sides of the Atlantic closely watch MFS's downfall.
Estimated losses for major banks and investment management firms such as Barclays, HSBC, Jefferies, Wells Fargo, Apollo, and Elliott Management could run into hundreds of millions of dollars.