Long Dollar & Stocks
Excellent commentary as usual!
Somewhat surprised to see your FI exposure reduced to zero just as:
1.. Market likely transition from a laser focus on inflation to growth.
2. The recent run-up in yields (particularly in the back end) that creates a nice asymmetric set-up for entry into a duration position.
Thank you! Recent timing factors and market regime pricing haven’t been very conducive to the FI positions. If we see further growth volatility + less inflation volatility, we expect the positions to size up again.
Nice write up.
Just wanted to clarify my understanding of your return contributions calculations, which price assumptions do you make?
Are you entering at Friday close levels or Monday morning open? and selling at which levels?
Thanks
Thank you. Close to close.,
Excellent commentary as usual!
Somewhat surprised to see your FI exposure reduced to zero just as:
1.. Market likely transition from a laser focus on inflation to growth.
2. The recent run-up in yields (particularly in the back end) that creates a nice asymmetric set-up for entry into a duration position.
Thank you! Recent timing factors and market regime pricing haven’t been very conducive to the FI positions. If we see further growth volatility + less inflation volatility, we expect the positions to size up again.
Nice write up.
Just wanted to clarify my understanding of your return contributions calculations, which price assumptions do you make?
Are you entering at Friday close levels or Monday morning open? and selling at which levels?
Thanks
Thank you. Close to close.,