The good news for convertible arbitrage managers in March
came in the shape of a tightening of credit spreads, which
helped lift returns - a trend that continued in the early days
of the second quarter with a similar effect.
One of the big gainers was Staro Asset Management's Stark
Investment LP, which was up roughly 5.1% in the first quarter.
But most of that was attributable to a hefty 4.24% gain in
January - the four-year-old fund's best monthly showing since
Tightening credit spreads also helped Zazove Convertible
Arbitrage, which was up 6.2% for...