A global macro hedge fund manager recently commented that the biggest risk today is stasis.
“Volatility creates opportunity,” he told me, “and even if you’re an arbitrage trader, things need to move to create the gap. The slaughter of volatility has made holding hedges very costly. If it stays like this, what is the point of hedge funds?”
A recent international gathering of risk managers in New York turned to geopolitical risks as a potential catalyst for ending the seemingly perpetual low volat
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