Tuesday, 23 September 2014
Last updated 5 hours ago
Aug 19 2014 | 7:34am ET
Paulson & Co. is boosting its exposure to Puerto Rico, buying its first commercial property on the financially troubled island.
The New York-based hedge fund has bought a 16-story office building in the U.S. territory’s capital, San Juan. The 326,000-square-foot space in San Juan’s financial district, Hato Rey, was formerly owned by insurer American International Group, and is known as American International Plaza.
Terms of the deal were not disclosed.
“We remain optimistic about the future of the San Juan real estate market, including the office, residential and hotel sectors,” Paulson’s Michael Barr said.
American International Plaza counts AIG, Charles Schwab, KPMG, Oracle Corp, and UBS as tenants. Prior to its purchase, Paulson had focused on exclusive hotel and residential investments, buying three tony hotels and resorts in the San Juan area, as well as undeveloped land. The firm is said by Puerto Rican officials to plan some $1 billion in investments in the island over the next two years.
Paulson isn’t the only hedge fund profiting on Puerto Rico, however. The island’s bonds have rallied after its electrical utility won a restructuring reprieve, rewarding the 60 or so hedge funds that have bought up some $16 billion in Puerto Rican debt.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitich, CIO of Petty Endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Credit default swaps brought down the London Whale and cost JPMorgan $6.2 billion. Here is how it happened.