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Meaning of fondo buitre




furoya

fondo buitre
  27

It is a derogatory expression towards an investment fund that buys at a vile price a debt in default or difficult to collect, relying on its lobbying capacity and its resources to end up collecting that money judicially and thus make an economic difference. It makes a comparison to the vulture, a bird that looks for dying animals because it feeds on carrion.

  




JOHN

VULTURE FUNDS very high risk funds and low cost of entry, with probabilities of losing all the money because the company (usually public) is on the verge of bankruptcy. If the company refloats a lot of money is earned.

  



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