President Trump’s Puerto Rican Debt Comments Have Spooked Investors

Excerpt below:

“The biggest risk for Puerto Rico and the creditors is that the rebuilding of basic infrastructure takes so long that the out-migration worsens, and you see people put roots down in other places,” said Jim Millstein, CEO of financial advisory firm Millstein & Co. Millstein recently advised Puerto Rico on managing its debt.

So far, the emigration is already happening. An estimated 7,000 people have already left via the Luis Munoz Marin International Airport, with “tens of thousands more” likely to follow, a recent Municipal Market Analytics note read. But on a more optimistic note, investors such as John Mousseau, the director of fixed income at Cumberland Advisors, says he waiting for financial aid from the federal government to help rebuild and strengthen Puerto Rico’s economy.

“If you get this rebuilding underway, you start seeing Puerto Rico turning the other way,” he told Fortune in late September.

Read the full article here: http://fortune.com/2017/10/04/puerto-rico-donald-trump-debt-bankruptcy


Links to other websites or electronic media controlled or offered by Third-Parties (non-affiliates of Cumberland Advisors) are provided only as a reference and courtesy to our users. Cumberland Advisors has no control over such websites, does not recommend or endorse any opinions, ideas, products, information, or content of such sites, and makes no warranties as to the accuracy, completeness, reliability or suitability of their content. Cumberland Advisors hereby disclaims liability for any information, materials, products or services posted or offered at any of the Third-Party websites. The Third-Party may have a privacy and/or security policy different from that of Cumberland Advisors. Therefore, please refer to the specific privacy and security policies of the Third-Party when accessing their websites.

Sign up for our FREE Cumberland Market Commentaries

Cumberland Advisors Market Commentaries offer insights and analysis on upcoming, important economic issues that potentially impact global financial markets. Our team shares their thinking on global economic developments, market news and other factors that often influence investment opportunities and strategies.