Wednesday, October 4, 2017

Debt Forgiveness for Puerto Rico?

First, he complained that Puerto Rico owes banks billions of dollars...





And now, he says Puerto Rico's debt will have to be "wiped out."
“They owe a lot of money to your friends on Wall Street and we’re going to have to wipe that out. You’re going to say goodbye to that, I don’t know if it’s Goldman Sachs GS, +0.26% but whoever it is you can wave goodbye to that,” Trump said in a pre-recorded interview with Geraldo Rivera that aired on Sean Hannity’s show Tuesday night.

  Market Watch
Why the change of tune? Guess.

Here's a CNN Money report from to help you out:
In reality, most of that money is owed to everyday investors. Less than 25% of Puerto Rican debt is held by hedge funds, according to estimates by Cate Long, founder of research firm Puerto Rico Clearinghouse.

The rest of the debt is owned by individuals and mutual funds that are held by mom-and-pop investors.

"For the most part, Main Street America owns this debt," Long said.

  CNN Money

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