Hedge Funds Build War Chests to Target Dislocated Debt in Europe

The damage wrought by the coronavirus pandemic has funds across Europe smelling blood.

Investors who profit off others’ woes are raising cash like never before, anticipating that desperation will lead to opportunity from Manchester to Milan. About a dozen funds are in race to gather more than $11 billion, which would more than double the unspent capital available in European distressed debt money pools, according to data compiled by Preqin...