The European Central Bank had bought bonds of South African retailer Steinhoff ... and have not done well
Boersen-Zeitung reporting the loss is circa 70 m EUR
The ECB purchase was (a small) part of its QE program ... it didn't research the company specifically, but bought bonds in companies
- in proportion to the amount outstanding on the market
- as long as the bonds are denominated in euros
- and issued by firms that are rated as "investment grade" ... and are not banks
The intent of this part of the Bank's QE programme was to lower borrowing comoanies directly for firms.
