Hedge funds jitter as motor giants crash into skid row

distressed debt

The downgrade last month of General Motors and Ford by Standard & Poor's may prove the biggest story in hedge funds in 2005.

Immediately following the downgrade to junk status by Standard & Poor's, unconfirmed talk swirled of groups such as GLG, and Highbridge Capital and then denied suffering heavily from GM's demotion from BB to BBB- and Ford's decline from BBB- to BB+.

While another downgrade would relegate nearly $500bn to junk status and eject GM and Ford from the Lehman Brothers' High

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: