- Very active month with 11 new positions;
- Regulatory authorities seem to have given themselves the OK to offer end-of-year gifts to investors involved in several transactions awaiting final approval: a total of 8, some dating back 2017, closed in November.
- We’re seeing new issues at cheaper valuations and opportunities abound as we pick away, adding positions at attractive valuations;
- We added 2 new convertible bonds (1 US & 1 CAN) while two called bonds were successfully paid out.
FIXED INCOME ARBITRAGE
- Negative performance on the general pullback in spreads;
- Exposure to credit risk remains low, awaiting attractive opportunities to deploy capital. Maintaining our tactical positioning long credit and for a flattening of the US yield curve, but now positioned for a steepening of the CAN yield curve. We remain short CAN vs US bonds.