The liquidity squeeze in global markets has made trading strategies linked with greater China an attractive target for some hedge funds, especially those employing credit strategies. Credit-focused funds have a particular penchant for the liquid Hong Kong, Taiwan and mainland China credit markets - and they are likely to outperform funds with more general exposure, when default rates and counterparty risk are rising, as is evident from widening credit spreads in June.
Most activity in credit deri
The week on Risk.net, October 6-12, 2017Receive this by email
- Quantile, TriOptima face off in cleared swaps compression battle
- SGX, HKEX expect to be among first wave of Mifid II equivalence
- Leaked EU doc could shield legacy swaps from clearing grab
- ABS set for revival under US Treasury’s liquidity buffer plans
- Industry hails potential US relaxation of margin timing rules