CNBC – Investment firms have sharply increased the protection they buy against macroeconomic shocks, so called “tail risk” hedging for a potential armed conflict in Eastern Europe.
“There’s been an uptick in hedging activity—we’ve definitely seen funds add to tail hedges in case the conflict escalates,” said Jon Kinderlerer, who analyzes Credit Suisse’s hedge fund client portfolios as head of risk and portfolio advisory for the bank’s prime brokerage division.
