Australian investment bank Macquarie will be setting up a U.S. bond insurer unit with initial capital of $2.5 billion.


This development comes after the major monoline insurers MBIA, Ambac, XLCA and  CIFG experienced negative rating actions.


Macquarie ran a New York Times advertisement announcing its intent to create an unnamed, New York-based stock insurance company, and the involvement of  a municipal and infrastructure corporation in financial guarantee and credit insurance.


Macquarie is considering other initiatives besides a bond insurer, such as raising a global special situations fund and possibly entering Europe’s distressed debt market.

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