Anticipations on future monetary policy and risk aversion linked to systemic threats create investment opportunities on the yield curves of US and Euro bonds. However, those opportunities cannot be seized before two fundamental questions have been answered

The foreign exchange market (Forex) is not an extra asset class but all asset classes together in the same market. It can be a real source of diversification and performance subject to a systematic, disciplined and rigorous monitoring.

The profile of the convertible bond-holder base has changed radically and the vast majority of the market is now held by long-only funds whereas in 2008 highly-leveraged hedge funds were the main holders.

Private equity funds invest in companies equities in order to take control of them. The shares held by these funds are not traded on financial markets. Their influence is moderate : According to Bain & Company, the global assets they hold is up to 3% of the value of listed companies assets.

Lombard Odier has been among the first asset management firms to launch investment vehicles which replicate hedge funds. We carry out an assessment with Jérôme Teiletche, the head of systematic investment strategies…