Economics

Templeton Doubles Down on Argentina as Fund Hurt by Latam

  • Fund run by Michael Hasenstab down 1.7 percent in past month
  • Latin American currencies among hardest hit in EM rout
Argentina, Brazil Have 'Great Potential,' Says Templeton's Hasenstab
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Franklin Templeton’s flagship bond fund, weighed down by a slump in Latin American currencies just as it started to reap the rewards of a multi-year bet against U.S. Treasuries, is doubling down on Argentina.

Funds controlled by Templeton, run by Michael Hasenstab, bought $2.3 billion of bonds denominated in Argentine pesos Tuesday, according to a person familiarBloomberg Terminal who spoke with the firm about the purchase. The sale was a "reverse inquiry" made by funds run by Michael Hasenstab, the person said, asking not to be named because the talks were private. The Financial Times reported earlier that Templeton bought these bonds.