Gross's Threat

http://www.futureofcapitalism.com/2010/08/grosss-threat

Pimco's Bill Gross gives an interview to the Financial Times ahead of Tuesday's Treasury department conference on housing finance:

Some conservative politicians and policy experts have suggested that the agencies should be privatised and the government's involvement curtailed.

Mr Gross, the founder of the Pimco and manager of its $239bn Total Return Fund, said such a move would, in effect, cause him to withdraw from the market.

"Without a government guarantee, as a private investor, I'd require borrowers to put at least 30 per cent down, and most first-time homebuyers can't afford that," said Mr Gross.

He really wants that government guarantee.

by Ira Stoll  |  Aug 12, 2010 at 11:45 am Related Topics:  Bill Gross, Capital Markets Regulation, Housing, Press receive the latest by email: subscribe to the free futureofcapitalism.com mailing list