Credit Suisse and Nomura warned Monday of “significant” hits to first-quarter results, after they began exiting positions with a large U.S. hedge fund that defaulted on margin calls last week. While neither Credit Suisse nor Nomura named the fund, it’s been widely reported that Archegos Capital Management is the firm connected to the fire sale.

So these banks get the courtesy call so they can exit their positions prior to a public announcement of which firm was imploding?

Sounds like institutional front-running to me.

With an imploding hedge fund, early movers have a big advantage.