The bubble has popped on the mighty index-rebalance trade, and the overcrowded strategy is wreaking carnage across hedge funds
Index-rebalance trading soared has in popularity at funds like Millennium, ExodusPoint, and Point72.
The crux of the strategy involves buying up shares in companies slated for inclusion in an index and selling short the companies about to get booted. Trillions of dollars in passive investment funds like ETFs are dedicated to tracking these indexes as closely as possible, meaning the changes — telegraphed weeks in advance — result in significant, and usually reliable, price moves: The added stocks rise and the deleted stocks fall.
But the swings have been exacerbated by how crowded the strategy has gotten, as have the effects of traders forced to unwind positions, people involved in the trade said.
日本 最新ニュース, 日本 見出し
Similar News:他のニュース ソースから収集した、これに似たニュース記事を読むこともできます。
Wall Street slips into a bear market; here's what that means, how US could avoid recessionWall Street opened the week with heavy losses that put the benchmark S&P 500 at a level considered to be a so-called bear market.
続きを読む »
Live Music in San Antonio This Week: Nothing More, Destroy Boys, Mothership and moreA rock-heavy week awaits local music fans — with options in a variety of subgenres. SanAntonio SATX SanAntonioTX SanAntonioMusic TexasMusic ThingsToDoInSanAntonio
続きを読む »
Ukraine Says Delays Over Weapon Supplies ‘Cannot Be Justified'; Russia Edges Toward Taking Full Control of SeverodonetskUkrainian President Volodymyr Zelenskyy is pleading for more heavy weaponry as Russia advances in the Donbas.
続きを読む »
Russia Edges Toward Taking Full Control of Severodonetsk; Ukraine Says Delays Over Weapon Supplies ‘Cannot Be Justified'Ukrainian President Volodymyr Zelenskyy is pleading for more heavy weaponry as Russia advances in the Donbas.
続きを読む »