Hugh Hendry Full Eclectica Letter on China’s Impending Collapse. April 29, at pm by Sheeraz Raza · Hugh Hendry Full Eclectica Letter on China’s. Hugh Hendry is a fund manager at Eclectica Asset Management. He has become prominent in the United Kingdom for his commentary on the. Eclectica Asset Management CEO, Hugh Hendry, talks to the media at the However, we also think it will end in Asia,” he said in the letter.

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In other words, going long very rich risk premium or buying cheap stuff.

Click here to manage your subscriptions. Typically these currencies offer attractive positive carry. He didn’t like it there, and again according to the Independent’spoke up’ and was fired within a month.

Hugh Hendry

The opposite trade, where one betted on BTPs narrowing their yield differential over German rates, proved spectacularly successful when the fclectica narrowed from c. The beautiful mind, if you will. Successful but contentious macro risk posturing.

The finance ministry seems determined to succeed. He claimed that he was hired only because investors had instructed eclrctica company to recruit more working-class employees. There was an error with your request.

Our cheat sheet Equities represent just over half of our risk allocation. We tactically hedge against these more constructive positions given the recent reset to higher fclectica volatility and their periodic outperformance of the wider market.


I am not seeking that kind of “edge.

Our cheat sheet. I fear that owing to this nasty experience, today no one in macro is running much risk. Can I tell you about the real world? It is in the constant exclamation “Who would have thought it? Retrieved 19 July Subscribe to ValueWalk Newsletter. Eclectica 22012 Management remains cautiously constructive: I have, I think, a soul mate in the prolific but often misunderstood Italian soccer player Pippo Inzaghi, the second highest scorer in all European club competitions.

10 things you didn’t know about Hugh Hendry, whose Eclectica hedge fund just closed

On the other hand, Mexican inflation recently dropped to all-time lows 2. They adhered to the terms of their risk budget. Europe A euro break up does not feature remotely in our projections nevertheless we seek to prevail should such unforeseen cataclysmic scenarios come to pass. A euro break up does not feature remotely in our projections nevertheless we seek to prevail should such unforeseen cataclysmic scenarios come to pass.

Today the opposite is the case: We are time investors,” Hendry said. Maybe that was the easy bit. In a curious sort of way the cause of these recent problems seems analogous to those of the renminbi, in that too many speculators were lured in by an attractive, high carry fixed income market.

Since then the spread has refused to make new lows and responds well to Europe-specific flares in volatility. Mexico has proven a big draw to the largest fixed income managers in the world. I attempt to cultivate my own insights and to recognise the precarious uncertainty of global macro trends.


Hugh Hendry Full Eclectica Letter on China’s Impending Collapse

And for several years we eclectkca studiously avoided investing in companies exposed to industrial commodities and have been circumspect in sizing equity shorts mindful of the torturous upside price volatility short squeezes that has made monetization of the narrative almost impossible. And whilst it does not enjoy positive carry, the holding cost is nevertheless low as despite negative rates the German curve is almost as steep as the Italian.

That is to say, they honoured the pact ehndry had with clients. He had intended to go into accounting because, “your ticket to the middle classes was law or accountancy.

That is perhaps a long way of saying that existentialism is alive hkgh well in the 21st century. The unfortunate thing is this group exercised its stop losses somewhere between and The momentous nature of recent advances in shale oil and gas extraction and America’s acceptance of the unpleasantness of debt and labour price restructuring looks to us as if it is creating yet another historic turning point.