Saturday, 1 October 2016
Last updated 14 hours ago
Nov 6 2012 | 12:46pm ET
Stratton Street Capital has launched a UCITS-compliant hedge fund to invest in Chinese renminbi-denominated bonds, with hopes of raising US$1 billion.
The new fund, still subject to regulatory approval, aims to profit from an expected appreciation of the Chinese currency. Stratton Street has run a renminbi bond fund for six years, returning 28% over the past two years.
"It's very popular to say the renminbi is fully-valued," head of sales Andrew Clark told Wealth Manager. "But China is a creditor and creditor currencies are going up."