A star fund manager at Franklin Templeton lost $1.8 billion on Monday due to the market slide in Argentina, according to the Financial Times.
Michael Hasenstab, a fixed-income fund manager, had several large positions in the Argentina bond market. The financial markets in the country plunged after a surprise result in primary elections. President Mauricio Macri, the center-right incumbent, lost by a larger than expected margin, raising concerns about populist leaders gaining control of the country.
Argentina’s stock market lost more than 30% on Monday, and the Argentine peso also fell significantly.
Several funds run by Hasenstab had large positions in Argentine bonds, creating a cumulative loss of nearly $1.8 billion for the day, according to Financial Times calculations.
Franklin Templeton reported that it had roughly $715 billion in assets under management as of June 30. The company declined to comment.