Sunday, 21 September 2014
Last updated 1 day ago
Jul 24 2008 | 8:30am ET
Hedge funds are playing a smaller role in fixed-income trading, according to a new survey.
While banks and real-money investors greatly increased their fixed-income trading volume over the past year, hedge fund volume was flat, Greenwich Associates found. As a result, hedge funds’ share of U.S. fixed-income trading volume fell to 20% from 29% in 2006-2007. All told, U.S. fixed-income trading volume rose 12% in the past year.
Hedge funds still play the major role in some segments of fixed-income trading, with absolute trading volumes in high-yield credit products, leveraged loans and structured products increasing as hedge funds delever their portfolios. And hedge funds account for 95% of trading volume in distressed debt, and more than 50% in high-yield credit derivatives, structured credit and leveraged loans.
The Greenwich study also showed the Lehman Brothers remains the preferred fixed-income dealer to hedge funds, followed by JPMorgan Chase, Goldman Sachs, Deutsche Bank and Morgan Stanley.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Credit default swaps brought down the London Whale and cost JPMorgan $6.2 billion. Here is how it happened.