After the storm

Strategy: convertible arbitrage

Dark storm clouds and lightning broken by the sun shining down onto a calm sea

The performance of convertible arbitrage in 2009 was one of the year’s investment highlights. Funds using the strategy posted average gains of over 42% last year, according to Hedge Fund Research. Some wonder, however, if there is anything left in convertible arbitrage after this spectacular run.

The easy money in the convertibles market may already have been made and there are few obvious beta trades left in the market. Nevertheless, hedge fund managers believe the strategy still has a lot to of

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: