The UK and France are both in trouble, according to
Kyle Bass of Hayman. Bass said when you looked at a particular country's banking system such as Iceland, it didn't take a genius to figure out it was going to blow up.
"Regulators weren't paying attention to the size of the host country's banking systems in relation to the sovereign's ability to maintain losses," he said.
According to Hayman Advisors' estimates, the UK is in "big trouble" and France is in "huge trouble" just as the Europe as a whole is.
Kyle Bass, an American hedge fund manager, is the Founder of Hayman Capital. He received extensive coverage in the financial press for profiting $590 million by short selling the sub-prime mortgage bond market, before that market crashed. In 2011, Bass initiated a huge position in Greek sovereign debt through CDSs. Media reports were that he could profit up to 650 times his investment should Greece default on its debt obligations.
