Pamplona Says Certain Northern European RMBS ‘Very Attractively Priced’
Pamplona Capital Management LLP, the $6 billion London-based manager of hedge funds and funds of funds, says certain structured credit assets in the U.K. and Northern Europe present buying opportunities, according to a letter to investors.
“We believe that the structured credit assets that we hold in the U.K. and Northern Europe are very attractively priced,” Yves Leysen, the 296 million euros ($365 million) fund’s portfolio manager, said in the letter, which was obtained by Bloomberg. “For instance, current prices of mezzanine non-conforming RMBS imply default rates of three to four times current default rates.”
The Pamplona Credit Opportunities Fund rose 0.5 percent in July and 6.6 percent this year. It has returned 49 percent cumulatively and 11 percent annualized since inception in January 2008 …