FYI: .JPMorgan reckons hedge-fund deleveraging helped fuel selloff
.U.S. bank also singles out risk parity, balanced mutual funds
One quantum of solace for bruised stock bulls: Some of the usual suspects behind last week’s rout may be done frightening markets.
Equity long-short hedge funds are among the worst-performing categories this month, along with risk-parity investors and balanced mutual funds, according to JPMorgan Chase & Co. -- a sign they helped fuel the market slump. Having slashed exposures amid the carnage, the deleveraging could now be over, according to the bank’s strategists.
Regards,
Ted
https://www.bloomberg.com/news/articles/2018-10-15/hedge-funds-at-the-core-of-stock-slump-may-be-done-offloading