Top Argentine Investor Warns Narrow Path to Avoid Vulture Funds
- Fernandez must restructure debt early in 2020, Cavanagh says
- His Delta Internacional Fund topped 99% of peers this decade
Attendees hold flags at the Frente de Todos party headquarters during an election rally in Buenos Aires on Oct. 27.
Photographer: Sarah Pabst/BloombergThis article is for subscribers only.
Argentine President-elect Alberto Fernandez risks a repeat of the 2001 debt crisis that led to a messy 15-year legal battle with creditors unless he can quickly restructure $50 billion of bonds.
That’s the warning from Christian Cavanagh, chief investment officer at Buenos Aires-based Delta Asset Management. His Delta Internacional Fund returned 95% in dollar terms in the past decade, trouncing 99% of peers in the nation’s capital, data compiled by Bloomberg show. Two other Delta portfolios, including his bond fund, rank in the top 10%.