BoE scrutinises Barclays over claim traders misrepresented private credit exposure

What happened

• The Bank of England is scrutinising Barclays after receiving a complaint that traders misrepresented the lender’s private credit exposure.
• The complaint alleges Barclays understated the risk of derivatives used to finance private credit loans.

Why it matters

The scrutiny highlights potential risk-disclosure and regulatory concerns around banks’ use of derivatives to finance private credit. It may matter to credit, financials and private-credit professionals assessing counterparty and exposure risks.

Timeline

1. First reported by Financial TimesOct 19
   BoE scrutinises Barclays over claim traders misrepresented private credit exposure
2. Private Equity Wire reportsOct 19
   Bank of England probes Barclays’ Private Credit Financing Practices

Who is involved

Sources (2)

1. Financial TimesOct 19
   BoE scrutinises Barclays over claim traders misrepresented private credit exposure
2. Private Equity WireOct 19
   Bank of England probes Barclays’ Private Credit Financing Practices

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