GREECE - JPMorgan has signed an agreement with London-based hedge fund North Asset Management to repurchase €280m in structured bonds sold to Greek investors.

The companies will pay back 100% of the purchase price less any interest gained on the bond in the meantime.

The shared estimated loss for both the US investment bank and the hedge fund could be as much as up to €20m.

JPMorgan's offer ends in a week's time on June 1.

Pension funds are alleged to have bought the structured bonds at an overpriced rate as unions claim funds paid up to €5m too much.

Funds bought the bonds via the Greek broker Acropolis which has since had its license revoked by the government.

But the bond underwritten by JPMorgan for the Greek government had passed through various hands, including German HypoVereinsbank, before ending up in the pension funds' portfolios. North Asset Management bought the bond, before it was issued, from JPMorgan.

Original pension fund investors in the bond can email JPMorgan at