With Puerto Rico likely to miss some payments on May 1, its debt restructuring is unavoidable.
Here’s a summary of issues, timing and our views on Puerto Rico’s debt crisis, which is coming to a head.
Puerto Rico’s debt is likely unsustainable and sacrifices will fall disproportionately on creditors.
Puerto Rico’s financial struggles have drawn wide attention, and many investors are evaluating the short-term and long-term outlook for the territory’s debt. PIMCO remains unenthusiastic about investing in Puerto Rico debt for a number of reasons.