Michael Hasenstab Fund Loses $3 Billion in a Miserable Quarter
Franklin Templeton’s flagship Global Bond Fund lost $3 billion in the third quarter as two of its biggest investments soured.
Total net assets in the fund managed by star investor Michael Hasenstab
dropped from $33 billion to $30 billion in the three months through September, according to public filings.
The fund was heavily invested in Argentinian local-currency bonds which defaulted in August. It was also holding a huge short position on U.S. Treasuries as yields dropped to a three-year low.
Under Hasenstab, Franklin Templeton Global Bond Fund Loses $3 Billion in Bad Quarter – SWFI