Pacific Investment Management Co has stopped buying the government bonds of Europe’s so-called peripheral countries, Andrew Bosomworth, a Munich-based fund manager at Pimco, told Sueddeutsche Zeitung. “In light of the elevated credit risk of the three countries Portugal, Greece, Ireland, we’re not putting in anymore money there; we withdrew most of the money,” Bosomworth told the newspaper. “We’re also not investing new money in countries with contagion risks even if they’re solvent like Spain and Italy; we underweight them considerably.”
(Bloomberg)
