San Francisco Chronicle – R-SQUARED, a $220 million Japan- focused hedge fund, bought put options and credit default swap indexes and sold cash bonds in anticipation of a U.S. sovereign- rating downgrade, said Tan Maruyama, the fund’s manager.
The hedge fund, run by Singapore-based MAM Pte, benefited from this strategy as global equity markets declined, Maruyama said. Volatility will remain high following the credit-rating downgrade, said Maruyama, the chief investment officer of R- SQUARED Asset Management Co. in Tokyo.
