(Bloomberg) — SoftBank Group Corp. slid as much as 5.7% Wednesday, taking losses to about 13% this week after news emerged the Japanese conglomerate had made substantial bets on equity derivatives in tech stocks before a broad sector selloff.
The Japanese company touched a low of 5,511 yen in Tokyo morning trade. It has shed roughly $15 billion of market value since Monday as SoftBank’s big bets on high-flying tech stocks from Amazon.com Inc. to Alphabet Inc. spooked investors.
Investors are grappling with recent market turbulence, assessing whether the pullback for equities is a sign of market health or the start of a larger drawdown that has further to go. Tesla Inc., which had defied gravity and market watchers for much of the year, was the worst performer on the Nasdaq 100 Index Tuesday, which fell 4.8% amid a selloff in equities. SoftBank has said it held $122.9 million worth of the automaker as of June 30.
The speculative fever that drove bullish bets in options markets and saw shares in bankrupt companies surge broke in September, wiping out trillions in market value.
Read more: SoftBank Chief Compliance Officer Has Left the Company
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