Marc Lasry, CEO and cofounder of Avenue Capital Group, spoke on CNBC about his suggestions in investing in European market. “I think one of the things that you can do is you can sort of invest — this is the right time.” said Marc, “I think you want to be investing in europe because you’re buying assets today at extremely low prices.”
Marc said it will better for investor to target on the loans with high teens, without leverage, and on a senior basis. In Marc’s opinion, since Avenue Capital Group is a long only fund, he will not be short, and he is trying to figure out whether it’s possible to buy today at a pretty discount. At the meanwhile, he will hedge everything he invested in the market. But Marc still believes it’s difficult to invest in other Europe countries because people are still nervous about what will happen politically.
When being asked for his idea in northern Europe, Marc said although the legal system is far better in the north, people are over charged for investing in UK, Germany and Switzerland. And what actually happens there is those UK and Germany banks can’t take a reserve and they raise capital from the governments.
Marc talked about his opinion in the international Europe and in the United States. He thinks the environment in U.S. is much better, but people are still focus a lot on Europe. (see the full CNBC interview)