Podcast Center
Video Center
Webcasts
Resource Center
Events
August 11, 2003 at 08:00 PM
NEW YORK–Having managed a hedged distressed securities portfolio for years, Mellon HBV Alternative Strategies LLC added a U.S.-focused long-only distressed strategy that involves acquiring influential or controlling positions in troubled public companies.
James Jenkins and George Konomos lead the eight-member investment team for this new discipline. They will target bank debt or bonds trading at significant discounts and seek to participate actively in the restructuring process of these companies. Mickey Harley, Mellon HBV president and chief executive officer, will oversee the group.
“This new discipline complements our distressed investment expertise and is appropriate to the current market cycle,” said Mellon HBV Managing Director Jonathan Bean, in a statement.
Record defaults and distressed debt have fueled returns in this field and investor interest has been strong in the past year. While the default rate has now fallen, outstanding distressed debt is estimated variously as being between US$750 billion and US$1 trillion, still massive by historical standards Previous HedgeWorld Story.
