New York (HedgeCo.Net) – There are a number of hedge funds that have purchased sovereign debt from Puerto Rico and now the hedge funds and the island nation are scrambling to put together a solution for funding the government as a default seems like a possibility. Just last week a bill that would have paved the way for a new bond sale was defeated in the Puerto Rico\u2019s House of Representatives. According to a report from the Financial Times, hedge funds hold about $4.5 billion in government debt from Puerto Rico.<\/p>\n
The debt of the U.S. territory is now yielding 10.5% and that is higher than the sovereign debt of Greece. As the possibility of default has become more realistic, the yields have risen considerably. The hedge funds have a hired a legal firm to explore the possibilities should the government decide to default on the debt. According to a report from Reuters, the hedge funds are planning to hire Robbins, Russell, Englert, Orseck, Untereiner & Sauber LLP, a Washington D.C.-based firm that describes itself as a high stakes litigation boutique.<\/p>\n
Puerto Rican officials have stated that unless a funding deal can be reached in the coming weeks, the government will have to shut down as of June 30.<\/p>\n
Earlier this week, Jeff Gundlach of DoubleLine gave Puerto Rico bonds as his top investment idea at the Sohn Investment Conference in New York.<\/p>\n","protected":false},"excerpt":{"rendered":"
New York (HedgeCo.Net) – There are a number of hedge funds that have purchased sovereign debt from Puerto Rico and now the hedge funds and the island nation are scrambling to put together a solution for funding the government as […]<\/p>\n","protected":false},"author":5,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3,4],"tags":[16064,10776,11148,16110],"class_list":["post-48070","post","type-post","status-publish","format-standard","hentry","category-hedgeco-news","category-syndicated","tag-funds","tag-greece","tag-hedge-fund","tag-puerto-rico"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/48070","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=48070"}],"version-history":[{"count":1,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/48070\/revisions"}],"predecessor-version":[{"id":48071,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/48070\/revisions\/48071"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=48070"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=48070"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=48070"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}