Search
 
News

Russia Sanctions Will Hit Pensions

Pimco execs told the U.S. Treasury that a Russian default would actually give President Vladimir Putin more money for his war efforts.

By Laura Benitez & Loukia Gyftopoulou | June 22, 2022 at 08:53 AM

The Pacific Investment Management Co. (Pimco) has warned the U.S. Treasury Department about the fallout to investors from the strict sanctions that are pushing Russia toward default.

Executives at the asset management giant told the U.S. Treasury that U.S. pension funds will face losses if fund managers are forced to write down their Russian holdings, according to people familiar with the matter. They also made the point that a Russian default would allow President Vladimir Putin to keep foreign currency reserves, which would have otherwise been paid to creditors—giving him more money for war efforts—said the people, who asked not to be identified because the matter is private.

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

Your access to unlimited Treasury & Risk content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.

Already have an account?

Dig Deeper

 

Recommended Stories

UK Pension Funds Dump Assets to Meet Margin Calls

UK Pension Funds Dump Assets to Meet Margin Calls

Neil Callanan & Jack Pitcher |

The selloff to meet margin calls comes after the BOE confirmed it will end its emergency bond-buying program; reverberations were felt from Sydney to Frankfurt to New York.

Treasury & Risk

Join Treasury & Risk

Don’t miss crucial treasury and finance news along with in-depth analysis and insights you need to make informed treasury decisions. Join Treasury & Risk now!

  • Free unlimited access to Treasury & Risk including case studies with corporate innovators, informative newsletters, educational webcasts, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM publications including PropertyCasualty360.com and Law.com.

Already have an account? Sign In Now
Join Treasury & Risk

Copyright © 2023 ALM Global, LLC. All Rights Reserved.