The 600 million yuan estimated losses shouldered by Bank of China clients who invested in a collapsed product linked to U.S. crude oil futures have been revised upwards by 11-fold, according to sources.
Last week, Bank of China clients invested in the «Crude Oil Treasure» product were estimated to have taken a 600 million yuan loss ($85 million) but upon further due diligence conducted on over 10,000 outlets, the figure totaled more than $988 million, according to a «Bloomberg» report citing unnamed sources.
The figure isn’t finalized and could be subject to further revisions, the report added.
Sub-Zero Oil
Following the unprecedented plunge in oil prices below zero to reach $37 million which triggered West Texas Intermediate futures contract settlements, oil investors globally racked up major losses from the unexpected market movements.
An estimated 60,000 Bank of China clients were affected by the product which has since halted trading. Trading halts of similar vehicles were also mandated by fellow state-owned giants China Construction Bank and Bank of Communications.
