Crispin Odey, the founder of hedge fund Odey Asset Management and well-known donor to the Conservative party, believes it’s too early to get bullish on sterling despite the fund plugging to a record low against the dally following Chancellor Kwasi Kwarteng’s ‘mini budget’ announcement, according to a report by MarketWatch.
Crispin Odey, the founder of hedge fund Odey Asset Management and well-known donor to the Conservative party, believes it’s too early to get bullish on sterling despite the fund plugging to a record low against the dally following Chancellor Kwasi Kwarteng’s ‘mini budget’ announcement, according to a report by MarketWatch.
Odey’s firm is just one of a clutch of hedge funds believed to have made huge profits from short positions against both sterling and gilts (UK government bonds) as the market reacted to Kwarteng’s £45 billion of unfunded tax cuts. Odey’s main fund is reported to be up 145% so far this year.
In an interview with the Financial Times, Odey said his sterling shorts had “been helpful” and described gilts as “the gifts that keep on giving”, while also saying: “I don’t think you can start getting bullish on sterling.”
