Big banks lose millions in dealings with bond trader with a bad record

London

BNP PARIBAS and Nomura Holdings are among five banks nursing losses of about £120 million (S$247.4 million) on the demise of an obscure bond-trading firm called Invexstar Capital Management. They shouldn't be surprised.

Alberto Statti, 49, Invexstar's manager and sole employee, helped run two firms before the London-based brokerage foundered last year. One ceased trading in 2008 with losses of £54 million, while the other collapsed in 2013, owing about £12 million to creditors including JPMorgan Chase & Co, according to filings with the UK's Companies House.