Sloane’s Greg Marose Writes Guest Column for FundFire on Crisis Communications Best Practices



FundFire Runs an Opinion Piece, Authored by S&C’s Greg Marose, on Crisis Learnings from the Venezuela Bond Controversy:

Asset managers investing in politically-sensitive bonds and stocks often face intense public scrutiny that they must prepare for by developing targeted communications and engagement strategies. The recent flurry of secondary market deals involving bonds issued by Venezuela’s state oil company exemplifies just how key preparation and planning are to avoiding reputational damage.

Many asset managers’ risk management processes do not fully account for the reputational threats that come with controversial or politically-charged investments. From Argentina and Detroit to now Puerto Rico and Venezuela, a number of major firms have encountered sustained blowback from
elected officials, media organizations and consumer watchdog groups for seeking the highest possible returns and pursuing optimal recoveries in distressed or special situations.

Although maintaining a strong brand is vital, no asset manager can shy away from a strong investment thesis or opportunity solely due to public relations concerns.

[Link to article]