Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Pimco’s Spajic Says ECB’s ‘Only Game in Town’ to Help Europe

May 30 (Bloomberg) -- Luke Spajic, the head of European credit portfolio management at Pacific Investment Management Co., said the European Central Bank is “the only game in town” to help the continent.

“The ECB has to step in,” Spajic said on Bloomberg Television’s “The Pulse” with Caroline Hyde. The Frankfurt-based bank’s second Longer-Term Refinancing Operation “really took the market by surprise” and helped banks, he said.

Spajic said he would “love” to see closer fiscal integration in the euro area. A bank deposit guarantee program would be difficult because “it may take a legislative change” involving the agreement of all 17 euro-area members, he said.

Credit investors should avoid risky euro-region corporate bonds, Spajic said. Emerging markets are “the future,” though they’ll also be contaminated by the European crisis, he said. U.S. Treasuries remain the “true safe haven,” according to Spajic.

To contact the reporter on this story: Paul Armstrong in London at parmstrong10@bloomberg.net

To contact the editor responsible for this story: Paul Armstrong at parmstrong10@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.