(Bloomberg) As the Mexican peso plunged day after day against the dollar last month, a handful of hedge funds took notice. The peso, they decided, was being overly punished by investors concerned that Donald Trump would win the election and go through with his plans to overhaul U.S. relations with its southern neighbor.
Now, just a few weeks later, those funds — including Callaway Capital Management, North Asset Management, One River Asset Management and Sagil Capital — are reaping a quick profit as Trump’s mounting campaign woes turn the peso into the world’s hottest currency. It has jumped about 5 percent since touching a record low in the lead-up to the first presidential debate late last month.
