The strategy offers significant upside even without M&A rebound.
By Troy Gayeski
As the U.S. economy and capital markets continue to improve, event-driven equity has emerged as an attractive investment theme for hedge funds. There are several contributing factors that we at SkyBridge believe are improving the potential risk/reward profile for this strategy. These factors include:
Political: The fiscal cliff was handled in a relatively benign fashion and the debt ceiling was kicked down the road, which means a lower probability of disastrous news out of Washington in the near term. In addition, although the sequester has been