One year ago, when the depth and breadth of the crisis in the US sub-prime mortgage market was first coming to light, a move into distressed ABS investing seemed like a prescient and nimble decision. Twelve months later and those early adopters are licking their wounds, burnt by prices that stubbornly refuse to stop falling.
Recent news that Pimco is now looking to raise a further $5 billion to invest in distressed non-agency RMBS and CMBS comes amid market estimates that $275 billion had...
