Wednesday, June 20, 2007

UPDATE 1-Merrill seizes $800 mln Bear hedge fund assets

(Reuters) - The move makes it unlikely that the funds will be able to
restructure. Merrill's selling such a large quantity of
illiquid assets, which are mainly collateralized debt
obligations, could force prices in that market markedly lower,
sources said.




The two funds suffered double-digit losses through April
after making bad bets on securities backed by subprime loans.


Read more at Reuters.com Bonds News

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