Hedging back in vogue among lucrative convertibles
Tuesday, July 21, 2009 : PermalinkReuters – Hedge funds stand to make gains from convertible bonds arbitrage again after last year’s huge losses decimated the sector, though improving markets have made the job more complicated.
Managers have been using a simple "buy and hold" strategy to ride a big bounce in depressed bond prices so far this year, enjoying gains of nearly 30 percent.
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arbitrage, big bounce, bond prices, convertible-bonds, hedge funds, job, losses, quot, reuters
