In today's market environment, uncertainty is widespread.
With some equity, credit and interest rate markets stretched, downside risks significantly outweigh upside potential. For investors seeking to protect their portfolios against these downside risks without having to forgo gains to the upside, hedged convertible bonds could present a solution. Within hedged convertibles strategies, specifically convertible arbitrage strategies, a long convertible bond position is paired with a short stock position in the same company. Alken's Dunmall: Convertibles can be the most attractive investment In rising markets, the long convertible bond p...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
