BLBG:Pimco Avoids Greek Bonds on Risk Nation Will Leave Euro Area
Pacific Investment Management Co. says it is avoiding the debt of Greece, Ireland and Portugal and sees a “significant risk” the former will leave the 17-nation euro-region.
The company, which manages the world’s biggest bond fund, is also “cautious” on the bonds of Spain, Italy, France, and other countries to Europe’s so-called core, Andrew Balls, London-based head of European portfolio management, said in an interview published on the company’s website.
“Greece’s exit from the Eurozone remains a significant risk and one that could lead to contagion across the Eurozone,” Balls said in the interview. “It is also far from clear that Portugal is on a sustainable path.”
To contact the reporter on this story: David Goodman in London at dgoodman28@bloomberg.net
To contact the editor responsible for this story: Daniel Tilles at dtilles@bloomberg.net
