Hedging costs hit arbitrage managers amid QE fear

Relative value managers raced to short their Treasury positions after the US Fed hinted at tapering in May, borrowing from the repo market. But demand saw hedging costs spiral.


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How will you alter your portfolio after the US election result?





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Underweight US
  18%
 
Overweight US
  34%
 
Underweight EMs
  10%
 
Raise cash levels
  26%
 
No change
  12%
TOTAL VOTES: 77
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November 2016 Magazine
AsianInvestor Magazine