Home > Views > Blogs > Market Movers > Is UBS Guaranteeing BlackRock's Returns?
EMAIL
PRINT
RSS
SHARE
TEXT SIZE:
SHARE
Send a copy to me

Separate multiple email addresses (max 20) with commas.

0/1500

Main
Are More Patents Really a Good Thing?   Droppe the CEO!
May 8 2008 12:08PM EDT

Is UBS Guaranteeing BlackRock's Returns?

Michael de la Merced got a timely interview with BlackRock's Laurence Fink this week, and the resulting story is well worth reading. But one question is not cleared up: what does this mean, exactly, on the subject of the $15 billion of subprime paper that BlackRock is buying from UBS?

Mr Fink is being cautious, demanding a 15pc return on the assets or UBS will have to take further writedowns, but the deal remains significant.

Is UBS really guaranteeing BlackRock a 15% return? And if so, what's the point of "selling" the paper to BlackRock in the first place?

See more in

Loading...

Add Your Comment

Required fields are marked with an asterisk (*)
Add a comment

Recent Blog Posts

Archive

Previous
Dec
2008
Next


Also in Portfolio.com
Most Read
Most Emailed
Recently Commented