Wirksame Krisenverhinderung? Das UK Senior Managers Regime und der Archegos-Skandal

The Archegos scandal, which resulted in Credit Suisse incurring losses exceeding CHF 5 billion, stands out as one of the most significant of the many scandals linked to the bank in recent years. It shines a light on financial sector misconduct and underscores the need for stronger individual accountability. Many of the weaknesses in the corporate governance system of the bank which lead up to Archegos could have been effectively addressed with instruments from the UK Senior Managers and Certification Regime (SMCR). The SMCR emphasizes qualifications and suitability tests for senior managers and the unequivocal acceptance of responsibility. It requires companies to have a clear understanding of the allocaction of responsibilities and reporting lines while demanding that individuals take responsibility for actions ocurring within their span of control. It provides comprehensive tools such as pecuniary penalties and clawbacks to penalize misconduct and incentivize long-term risk…