Liquid Alternatives News

As a tight US election race heads to its conclusion, some hedge funds are pivoting toward currency options that could profit from a weaker dollar in the event of a Kamala Harris presidency, according to a report by Bloomberg citing data from the Depository Trust & Clearing Corp (DTCC).

Hedge funds and other speculative traders are positioning for a further rally in the dollar as demand for safe-haven assets intensifies ahead of the US presidential election, according to a report by Bloomberg citing data from The Commodity Futures Trading Commission (CFTC).

Global hedge funds are heading into the US presidential election with significantly higher equity leverage in their portfolios than at the start of the year, signalling an increased appetite for risk, according to a report by Bloomberg.

China’s quantitative hedge funds, which have consistently outperformed in recent years, are struggling to keep up as the government’s recent economic stimulus has triggered a surge in local stocks that has strained their models and short positions, according to a report by Bloomberg.

Hong Kong’s Securities and Futures Commission (SFC) has revised its guidelines on market sounding practices, softening certain requirements after receiving feedback from hedge funds and banks, according to a report by Bloomberg.

The Singapore dollar is gaining traction as a favoured currency trade for hedge funds and other option investors eyeing the upcoming US presidential election, according to a report by Bloomberg citing data from the Depository Trust & Clearing Corporation (DTCC).

Hedge funds recorded their eighth successive quarter of positive returns in Q3 2024, with funds achieving an overall weighted average return of 3.22%, a 1.09% increase on Q2, according to a new report from Citco.

Shanghai-based Power Asset Management has closed its options arbitrage strategy following significant losses amid recent market volatility, making it the latest Chinese hedge fund to be impacted by unpredictable stock movements linked to government stimulus efforts, according to a report by Reuters.

Vantage Point Asset Management is increasing its stakes in Japanese equities and the US dollar, anticipating that a Donald Trump victory in the upcoming US presidential election will boost global growth and keep inflation elevated, according to a report by Bloomberg.

Hedge funds turned bearish on the yen in the week leading up to Japan’s snap general election, as the ruling Liberal Democratic Party failed to secure a majority, potentially amplifying currency risks, according to a report by Bloomberg.

Hedge funds, asset managers, and other speculators moved into bullish dollar positions in the week ending 22 October, holding around $9.2bn in long dollar bets, according to data from the Commodity Futures Trading Commission compiled by Bloomberg.

Multi-strategy hedge fund major Millennium Management is exploring the launch of its first new fund since the company launched over three decades ago, to focus on investments in less liquid assets including private credit, according to a report by the Financial Times.

Fidelity Prime Services has formed a strategic partnership with independent fund administrator Stone Coast Fund Services, to provide an all-inclusive hedge fund solution, combining prime brokerage, fund administration, and advanced fintech services.

Hedge fund capital rose to a fourth consecutive quarterly record as the combination of election and geopolitical risks, which have dominated financial market performance throughout 2024, accelerated into Q4, according to data from HFR.