HALISTER1: Greylock Switches to Buy Longer Greek Bond Maturities, Banks

Greylock Switches to Buy Longer Greek Bond Maturities, Banks

(Bloomberg) -- Greylock Capital Management is moving its investment in Greek bonds further down the curve after the country resolved an impasse with international creditors over its bailout program.
  • “It’s time to move from short end to longer maturities, and to start switching from fixed income to equities a bit, particularly banks,” Greylock’s co-chief investment officer Diego Ferro said in emailed comments
  • Two-year Greek bond yields dropped below those on 10-year notes for the first time since January on Tuesday, a sign of investor confidence about the nation’s ability to repay its debts: see chart here
  • “I have been very bullish, so happy that this has finally happened,” he added, after the country unlocked the way for debt-relief talks and disbursement of the next tranche of emergency loans
  • The firm, which invests in undervalued, distressed and high- yield assets and has $1 billion under management, said Greece has consistently been one of its top performers since 2012
  • NOTE: Greece’s benchmark ASE Index rose 3.1% on Tuesday, the highest June 2015

Alert: HALISTER1
Source: BFW (Bloomberg First Word)

Tickers
0447838D US (Greylock Capital Management LLC/USA)

People
Diego Ferro (Greylock Capital Management LLC/USA)

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