Cyprus Mail
Business Cyprus

Lack of extreme value in mainstream markets prompts investment in periphery – Wilbur Ross

Wilbur Ross

Newly elected vice chairman of the Bank of Cyprus and chairman and CEO of WL Ross & Co, Wilbur Ross has cited difficulty in finding “extreme value in the mainstream markets” as a reason behind his decision to invest in the Bank of Cyprus.

“We`re finding it very difficult to find extreme value in the mainstream markets,” Ross told CNBC on Friday, adding “we`ve moved into Greece, into Euro Bank, and now into Bank of Cyprus. That`s going pretty far out on the periphery”.

The Bank of Cyprus Annual General Meeting elected last Thursday a new Board of Directors, following a recent €1.0 billion capital raise, the biggest foreign direct investment in the island`s history.

The bank has been recapitalised with depositor money, as part of a €10 billion bailout Cyprus received from the EU/IMF, under which 47.5% of uninsured deposits over €100,000 have been converted to shares.

According to CNBC, despite the seemingly unstoppable US stock market, in the same interview Ross advised individuals to be cautious.

“Think about it, we`ve had all-time highs repeatedly during this year,” Ross said. “The obvious corollary of that is there are fewer and fewer really inexpensive things.”

He also said that China`s rate cut was a “positive development”, describing the move as a possible early signal of quantitative easing. “I think they need that”.

CNA



Related posts

Coronavirus: 181 cases detected on Tuesday

Peter Michael

CySO promises busy November

Eleni Philippou

Turkish Cypriot members resign from bicommunal committee on culture

Evie Andreou

Coronavirus: Hunters given permission to evade curfew

Evie Andreou

Anastasiades to meet Tatar next week

Staff Reporter

Second police workshop on handling rape cases completed

Jonathan Shkurko

17 comments

Comments are closed.