Feb
28
Here’s One Hedge Fund Manager Making Money From Negative Rates
ByNegative rates may be bringing misery to many investors, but not to all.
The man running the hedge fund operations of Danske Bank A/S — the biggest financial conglomerate in the country to have endured the longest stint of negative rates — says he’s found a trade that is unlikely to fail.
Exceptionally low yields have driven investors out of Nordic covered bonds. Only the shortest-dated notes still generate some interest. According to Michael Petry, head of hedge funds at Danske Capital in Copenhagen, that’s opened a rare window for relative-value investors who focus on spreads…
