Tue, Sep 1, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

As spreads tighten, hedge funds see opportunity

Friday, July 25, 2014

Bailey McCann, Opalesque New York:

Another wave of mid-year investor letters and performance updates have made their way to investors, and Opalesque inboxes. One theme has emerged within the credit managers space, which we have reported on steadily this week - as spreads tighten the opportunity set for these managers still seems ripe.

"Spread tightening has been consistent over the year," said Chris Acito, Gapstow Capital Partners CEO/CIO in a call for media today. "This has been especially true for longer durations."

Chenavari Investment Managers, Chenavari Toro fund is also continuing its steady climb posting a gain of slightly over 2% in June and over 18% year to date, according to an investor letter. In the letter, Chenavari echoed the thought that spreads have tightened, which makes economic recovery stories like the one in the UK more compelling.

Both men note that despite a common refrain about inflation and interest rate concerns, neither seem to be on the rise any time soon. "If you were long credit at the beginning of this year, things have been good," Acito said.

"We are relatively sanguine about the markets over the next six to twelve months. We expect to continue our interest in new issuance CLOs through the remainder of the year and into 2014. We also see a strong bid for legacy structured credit, CLOS and Trust preferred CDOs."

Chenavari noted that new mortgage und......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Investing - Hedge funds suddenly find real money is back in Argentina's debt, Elon Musk buys more SolarCity stock following hedge fund manager short, BlackRock plans to get into rental-home financing[more]

    Hedge funds suddenly find real money is back in Argentina's debt From Bloomberg.com: The real money is back in Argentina. Before the country’s default in July 2014 (its second in 13 years), most long-term investors abandoned its bond market. As they rushed out, Argentina became a favorit

  2. Activist News - Carl Icahn has snapped up a huge stake in Freeport-McMoRan, and the stock is ripping, Meet Europe's best activist investor[more]

    Carl Icahn has snapped up a huge stake in Freeport-McMoRan, and the stock is ripping From Businessinsider.com: Carl Icahn has picked his next target: Freeport-McMoRan. Icahn and a group of other investors have snapped up an 8.46% stake in mining company Freeport-McMoRan, according to a j

  3. North America - Hedge fund manager Ray Dalio’s challenge to the Fed[more]

    From Newyorker.com: For some reason, Janet Yellen, the chair of the Federal Reserve, decided to skip this year’s annual Fed conference in Jackson Hole, where monetary policymakers from the United States and abroad get together with some prominent academics to discuss the big issues of the moment. Th

  4. Opalesque Exclusive: Credit-focused hedge fund Numen Capital expects more volatility in Europe in coming months[more]

    Benedicte Gravrand, Opalesque Geneva: A London-based hedge fund, which has just hired two emerging managers, is cautious on Europe. Vassilis Paschopoulos and former Lehman’s colleague Nikos Kargadouris, launched a London-based credit-focused hedge fund called

  5. Performance - Hedge funds bruised by stocks’ meltdown, Capstone’s volatility hedge fund is having a monster month thanks to market mayhem[more]

    Hedge funds bruised by stocks’ meltdown From WSJ.com: Hedge-fund managers like to promise their investors protection from market swings. In the recent stock swoon, many were caught off guard. Billionaire managers such as Leon Cooperman, Raymond Dalio and Daniel Loeb are deeply in the red

 

banner