CityWire.co.uk- Raphael Kassin, one of the best-known fund managers in the emerging market debt sector, is bullish about his asset class and believes he is well-placed to weather current market storms.
Kassin, who is A-rated for his management of the Credit Suisse Bond (Lux) Emerging Markets fund, says the current crisis is 100% about sentiment.
‘Emerging sovereign as an asset class is OK, but there is a lot of pain in the broad market. I’ve seen this before – hedge funds blowing up because they’re over-leveraged,’ he says.
Having himself run a hedge fund in his time at ABN Amro, Kassin believes the actions of hedge funds are now making short term market behaviour impossible to predict or explain. ‘Hedge funds are losing money, banks are unwinding positions related to hedge funds. So a lot of trades make no sense.’
