The investment chief at one of the world's most influential pension funds has claimed the credit crunch that began with defaults on US sub-prime mortgage loans will aid the overall health of the financial system.
Russell Read, chief investment officer of the $245bn (€183bn) California Public Employees' Retirement System, told Bloomberg: "The re-calibration of risk is inherently healthy and actually bodes well for investors in most marketsâ¦The moderate de-leveraging of the financial system is also healthy."
