Bets against UK government bonds have helped Odey Asset Management’s flagship hedge fund to a 145% gain so far in 2022, according to a report by Reuters.
Bets against UK government bonds have helped Odey Asset Management’s flagship hedge fund to a 145% gain so far in 2022, according to a report by Reuters.
The report cites unnamed sources as saying that the £4 billion firm, founded by Crispin Odey, has befitted from shorting long-dated UK debt, with the main fund establishing its largest notional exposure against very long dated bonds, some as far out as 2071.
Odey also reportedly took up a short position against UK 2061 cash bonds when yields were as low as 0.5%. Most of the firm’s long positions are believed to be in inflation-linked bonds that climb when price rises accelerate.
