"This is opportunity capital rather than damage-curing capital," Ross said in an interview on CNBC following news he will invest up to $1 billion in Assured.
NEW YORK (Reuters) - Billionaire investor Wilbur Ross on Friday said he chose to invest in Assured Guaranty Ltd. <AGO.N> over rival bond insurers MBIA Inc <MBI.N> and Ambac Financial Group Inc <ABK.N> because those two need the money simply to preserve their triple-A credit ratings while Assured is in a better position to flourish.
"This is opportunity capital rather than damage-curing capital," Ross said in an interview on CNBC following news he will invest up to $1 billion in Assured.
Ross said several weeks ago that he would invest in a U.S. bond insurer. Fellow billionaire Warren Buffett has also been actively exploring opportunities in the struggling sector.
The sector's largest players, including MBIA and Ambac, have been under siege after a drift from their main business of insuring municipal bonds to more complicated instruments left them with large exposure to the foundering subprime mortgage market.
!ADVERTISEMENT!At the same time, Ross said he remains in discussions with other bond insurers.
(Reporting by Daniel Burns, editing by Mark Porter)
