Hugo Chavez’s Absence Felt on Wall Street Bond Desks [View all]

[Marksman_91]

http://www.bloomberg.com/news/2014-09-10/hugo-chavez-s-absence-felt-on-wall-street-bond-desks.html

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Since replacing his late mentor in April 2013, Maduro has overseen the worst bond returns in emerging markets, with the country’s dollar debt posting a loss of 8.7 percent. That’s a complete reversal of the Chavez presidency, when the nation’s debt returned an average 16 percent annually over 14 years, generating a total return of 692 percent that dwarfed the 387 percent earned on developing-nation debt, data compiled by JPMorgan Chase & Co. show.

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Chavez “had lots of charisma; he was able to transmit empathy,” Bianca Taylor, a sovereign debt analyst at Loomis Sayles & Co. LP, said by phone from Boston. “Nicolas Maduro doesn’t have the charisma, he doesn’t have the support of government and he doesn’t have the support of Congress. And without that, it’s difficult to take the decisions he needs to take. He has been unable to govern because he lacks the strong leadership.”

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