Brevan Howard Asset Management isn’t the only global macro hedge fund shying away from currency trading in the face of poor performance.
Caxton Associates has also cut its exposure to foreign exchange after posting losses in each of 2014’s first six months—just like Brevan Howard. And like Brevan Howard, the changes appear to be working, as Caxton posted its first gain of the year in July.
The US$8 billion firm is now down about 5% on the year.
According to The Wall Street Journal, Caxton cut its developed-market currencies bet by more than half. The New York-based firm has increased its exposure to commodities.