Wednesday, June 27, 2007

Bear Stearns Turns to Marano for Fund Bailout, Underscoring Risk of Losses

(Bloomberg) -- Bear Stearns Cos. assigned its top
mortgage trader to help manage the $1.6 billion bailout of a
money-losing hedge fund, highlighting the risk of losses as it
tries to unwind bad bets on investments tied to home loans.

Thomas Marano, the 45-year-old global head of mortgages and
asset-backed securities, was parachuted in after the firm agreed
to finance the Bear Stearns High-Grade Structured Credit
Strategies Fund, according to a person with knowledge of the
decision. New York-based Bear Stearns said in a statement
yesterday that it won't rescue a second fund, which borrowed
more heavily and sustained bigger losses.


Read more at Bloomberg Bonds News

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