Wednesday, 1 May 2013

Kyle Bass on his short thesis on Japanese Government Bonds

Below is an excellent video on Kyle Bass' short thesis on Japanese government bonds (known as the "widowmaker" trade).  

Bass has put forth his call since 2010, and we first saw the sell-off in short-dated Japanese government bonds recently when Bank of Japan announced its massive stimulus program. The Japanese equity market has been on a tear recently (see chart), of which investors have been dubbed by Bass as "macro tourists."  

Read more here: Articles by Hedgie


Poll: Are you a “macro tourist” or “widowmaker”? free polls 

Poll 2) : Which trade do you think will give the better absolute returns, irregardless of the holding period/time frame? free polls