Will Ukraine's Riots Batter a Star Bond Investor? - Bloomberg:
"One of the world's most successful investors has a big bet going on Ukraine. It could prove to be a big mistake.
Michael Hasenstab, a portfolio manager at Franklin Templeton Investments, has won many prestigious awards in the fund management industry. He has consistently outperformed his peers, delivering an annualized total return of 7.1 percent on his bond investments over the past 12 years, according to data provider FE Trustnet. The Irish Independent reported that he made $2.6 billion for his investors by accumulating about 10 percent of Ireland's government debt in 2011 and 2012 and making a windfall as the nation stepped back from the brink of default.
Now Hasenstab has a much riskier gamble going in Ukraine. As of Sept. 30, Templeton funds managed by Hasenstab held Ukrainian government bonds, denominated in dollars and euros, with a market value of about $3 billion. Even before more than half a million anti-government demonstrators took to the streets of the Ukrainian capital, Kiev, the country's creditworthiness was not looking good."
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