There has been a trend certain hedge fund managers, many with a mathematical bent, have been aggressively following since the 2008 financial entanglements. The topic of how voters in a democracy react to tough decisions regarding government debt has been modeled to a wide degree, with fund managers having behind the scenes and in public discussions to address the issue. This one-time whisper topic is now trending to the point of the the unthinkable: the State of Illinois, as one example, might have their bonds downgraded to junk. Enter into this conversation a June 27 Moodys report on “US Bond…
Moody's: Government Default Trend Is Expanding
Mark Melin
Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.