“There’s a number of people around the table, the AAA countries, the taxpayers and all of these countries undergoing the fiscal reform, all trying to participate in the solution, but there’s one seat empty at the table and that’s the senior bondholders, the senior creditors, and ultimately they’re going to have to join the table,” he said today in an interview on Bloomberg Television’s “Countdown” with Mark Barton.

Asked whether it’s likely some nations will need to default or reorganize their debt, Bosomworth replied: “I think it is.”

The fund manager said countries with top credit ratings such as Germany and France will have to contribute more to solve the problem even though that might have a negative impact on their own bonds.

“One way or another, the AAA countries will have to contribute more to make the monetary union work better,” he said. “That doesn’t necessarily mean writing a blank check. A credit contribution is going to be needed and that’s going to have a negative impact on the duration of those bonds.”

He cautioned that debt restructuring is a short-term solution and indebted countries will have to work to address their structural problems.

“Defaulting in itself will solve a solvency problem, but these countries do have a competitiveness problem,” he said. “They will have to make themselves more competitive by keeping inflation low. That’s a long hard road ahead for these countries to find a way of growing out of the problem.”