Reuters – Hedge funds have trimmed their bets on rising interest-rate volatility since the beginning of this year, according to the results of a quarterly survey of senior credit officers conducted by the Federal Reserve.
About 25 percent of dealers surveyed by the Fed said hedge fund clients have reduced bets on rising rate volatility for short-term rates, and about 20 percent of dealers said hedge funds have reduced such bets for longer-term interest rates.
