Corker Takes On Trump, Hedge Funds Lose on Puerto Rico: DealBook Briefing
For Jim Reid, a credit strategist at Deutsche Bank, the overriding worry is that investors and policy makers won’t be prepared for what will happen when global central banks put a halt to their easy-money policies.
Britain, deadlocked with European negotiators over Brexit, is expected to tell other European Union countries that the “ball is in their court.”
George Parker and Robert Wright, FT:
In addition to mounting pressure from anxious businesses, the U.K.’s position has been further complicated by Mrs. May’s disastrous party conference speech last week. Some European diplomats wonder whether she will last long enough to deliver on any agreements struck in Brussels.
Gambling on Puerto Rico
Many prominent Wall Street firms that did so are losing.
Among them, according to NYT’s Matthew Goldstein, are:
• John A. Paulson, the hedge fund manager, and his firm, Paulson & Company, which have invested billions of dollars.
• Samuel Kirschner, the chief operating offer for CPG Real Estate, which has invested in Puerto Rico for nearly 18 years. He has struggled to get into his properties because of damage from the storm.
• Blackstone Group;
• D. E. Shaw;
• Goldman Sachs;
• Lone Star Funds.
It may be hard to shed tears for such investors. But their interests might be aligned with Puerto Rico’s economy as a whole.
More from NYT:
Tourism supports more than 60,000 jobs in Puerto Rico. Luring deep-pocketed investors from the mainland has the potential to hasten the island’s recovery.