Argentina Debt Swaps May Pay $1.4 Billion After Ninth Default

- Advertisement -
- Advertisement -
- Advertisement -
- Advertisement -

Investors holding debt protection for Argentina could be in line to share compensation of about $1.4 billion after the South American nation defaulted on its foreign debt for a ninth time last month.

Firms holding the country’s credit-default swaps will receive about 66% of the amount covered by the instruments, according to the initial results of an auction to settle the contracts on Friday. They get triggered when a borrower fails to pay its debt. Investors use the instruments to make negative bets on borrowers or as hedges for bond investments.

Argentina, which has a long history of defaults, is negotiating a $65 billion debt restructuring on its foreign debt. The latest deadline from President Alberto Fernandez’s government expires this evening. Given that the nation is already in default, there are no major implications for an additional extension.

Some of Argentina’s largest creditors include Pacific Investment Management Co., Franklin Templeton, BlackRock Inc. and Ashmore Group Plc, according to data compiled by Bloomberg.

This article was originally posted on finance.yahoo.com/news/.

Home of Science
Follow me

- Advertisement -

Discover

Sponsor

Latest

Business Plan Templates For Your Business

If you are to set up a new business and want to be sure that your plan is written up in a way that...

House Democrats propose a new coronavirus stimulus relief bill. It includes a second round of $1,200 checks

KEY POINTS Democrats in the House of Representatives put forward another stimulus package on Tuesday. The bill calls for a second round of $1,200...

Outdoor furniture sales grow as customers prepare for a summer at home

KEY POINTS With the travel industry crushed by the coronavirus pandemic, it’s more than likely that people will be staying close to home this...

The Life of Priyank Chopra: Iyengar

Priyank Chopra is well known in the area of Ayurveda and Yoga for many years. He has done many seminars, workshops and retreats. There...

Map Reveals Hidden U.S. Hotspots of Coronavirus Infection

Credit: Peter Zelei Getty Images The U.S. currently has the most confirmed COVID-19 infections of any country, with more than 203,000 cases as of Wednesday. New York...
Home of Science
Follow me