Chris Vogt, portfolio manager at U.S. insurer Allstate Investments, says investing in distressed assets in the United States has run its course, and the trend will continue to move into post-reorganization equity.
“In the past 12 months we did a lot in distressed investing, and we’ve begun to moderate that view,” Vogt said. “We feel as if, at least in the U.S., the distressed cycle has run a lot of its course. It’s moved into post-reorg equity and out of fixed-income instruments. And we expect that trend to continue, given growth levels in the U.S.”