Guidance Green and EDF top October’s arbitrage figures in five-month rally


Credit markets continued their five-month rally in October, largely on the back of the corporate spreads getting tighter as balance sheets get healthier, and returns in the arbitrage sector were generally strong. Nevertheless funds in this sector reported that many of the underlying managers are defensively positioned with higher cash balances, lower net and lower gross exposures. Investors are still a little wary of owning riskier assets, but as rates are still trending lower, investors are starting to look for yields beyond the safe havens.

It was a good month for Guidance Green Terrain, which was up 2.32%