Jupiter Asset Management Ltd, which joined the likes of BlackRock Inc to buy Greece’s government bonds in April, has sold all its holdings of the nation’s debt.
Ariel Bezalel, who helps manage Jupiter’s $51 billion of assets, said his fund started reducing its position in Greek debt “a few weeks ago” and disposed of the last portion on Friday, judging the European Central Bank won’t deliver a program of bond purchases known as quantitative easing.
“My concern is that there will be too much resistance from other members of the eurozone to actually launch a full-blown quantitative easing,” Bezalel said in a telephone interview on Friday.
“In that event, there will be a policy vacuum when the US finishes its program. Risk assets are at risk.”
Jupiter, with investors including BlackRock and Invesco Ltd, was among companies that took part in Greece’s sale of five-year notes in April, marking the nation’s return to bond market after a four-year hiatus.
“The eurozone crisis at some point will start resurfacing in the near future,” Bezalel said.
“Why should we own this stuff when it can go a lot lower?”