Interest rate LDI increases 9% but inflation hedging drops

Stephanie Baxter
clock • 2 min read

The amount of hedging against interest rate risk rose to £31.7bn in the fourth quarter of last year, according to BMO Global Asset Management.

The firm's liability-driven investment (LDI) survey - which polls investment bank trading desks on the volumes of quarterly hedging transactions - found inflation hedging activity however decreased...

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