Insights

In 2025, Environmental, Social, and Governance (ESG) criteria have vaulted from niche concern to mainstream portfolio driver. Global ESG assets are on track to exceed $50 trillion by 2025 – more than one-third of total managed assets. Over ...

In March 2020 the “dash-for-cash” blew up what had been a sleepy arbitrage: hedge funds who were long Treasury bonds, short the matching futures and levered 50-to-1 within the strategy via cheap repo suddenly faced margin calls and ...

Convertible-bond arbitrage—once a star strategy in the early 2000s—is suddenly everywhere again. Over the past few months my inbox has filled with meeting requests from convert-arb specialists, and their desks are once more the busiest ...

From weekly curiosities to the default playground Until quite recently, the idea of an option that expired within the same trading day was considered an exotic corner of the derivatives world. But that has changed dramatically. ...

In our previous post—Hedge Fund Crystal Ball: Can We Really Predict Future Performance?—we looked at the usual suspects investors reach for when trying to forecast hedge fund returns. One term that kept popping up—and that deserves a ...

In an industry where noise often masquerades as insight, one of the most persistent illusions has been that all positive returns are created equal. For too long, portfolios have been judged on nominal performance, as if riding the tide of ...

Bank-sponsored Quantitative Investment Strategies (QIS) are increasingly prominent in institutional portfolios. Whether designed to capture style premia, replicate hedge fund strategies within UCITS structures, or offer tailored overlays, ...

Every option price contains an insurance component: the seller demanding payment for the possibility that tomorrow departs radically from today. On average, the cost of that insurance – the implied volatility – trades above whatever ...

In our previous post on predictability of hedge fund performance, we explored whether hedge fund performance can be predicted—and which factors actually matter. This follow-up dives into one such driver: fund size. Investors often face a ...