Distressed debt investors, which focus on companies on the verge of going through out-of-court restructuring or into bankruptcy protection, discussed where they should invest their money at iGlobal Forum's 4th Annual Global Distressed Debt Investing Summit in New York. Industries where the government is involved, like defense and healthcare, should provide investment opportunities.

"Anywhere the government plays a heavy hand" is a place investors can find above-average levels of distressed debt opportunities, says Andrew Milgram, managing partner and chief information officer at Marblegate Asset Management, a hedge fund manager based in Greenwich, Conn.

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