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Matthias Knab, Opalesque:

The Eagle's View Japan Arbitrage Fund, L.P. returned an estimated +5.65% net in April 2026, bringing year-to-date performance to +9.91% net of all fees, according to a monthly investor letter from Neal Berger, General Partner of Eagle's View Japan Management, L.P. May is currently tracking at 5% or better, the firm said.

The fund, launched in September 2024 and managed by Chris McGuire's Eagle's View Japan Management, L.P., runs a Japanese convertible bond arbitrage strategy that hedges both the credit and equity components using Asset Swapped Convertible Option Transactions, or ASCOTs. Annualized return since inception stands at 22.54%, with annualized volatility of 9.01% and a Sharpe ratio of 1.85, materially ahead of the HFRX RV: FI-Convertible Arbitrage Index (10.98%) and the BarclayHedge Convertible Arbitrage Index (11.06%) over the same period.

New issuance of Japanese convertible bonds is picking up sharply, driven by the continued rise in domestic interest rates. The Japanese 5-year note recently hit 2%, sharpening the relative appeal of zero-coupon convertible structures versus straight debt for corporate treasurers. Nippon Steel, Advantest (6857) and JX Metals have all priced new deals in recent months, with a fuller calendar expected through the balance of 2026.

"Eagle's View Japan Arbitrage Fund, Ltd. has been treated exce......................

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