Fixed Income and Currency Strategist

Gautam Jain, PhD, CFA

Gautam Jain has over 25 years of experience covering global emerging fixed income and currency markets, both as a strategist and a portfolio manager. He has worked in buy-side and sell-side firms, including The Rohatyn Group (TRG Management), Barclays Capital, and Millennium Partners. He has helped manage emerging markets local-currency and hard-currency debt funds. The assets that he covers include currencies, interest rates, sovereign credits, and related derivatives. He specializes in portfolio construction, smart-beta index creation, and asset allocation. Mr. Jain holds a Ph.D. in Operations Research from Columbia University and is a CFA charter holder.

Central European Rates Are Among the Hardest Hit in EM

Alpha Bites: Receive Poland 10y Vs Pay Eurozone 10y Local Rate

Rates 10y Dashboard: Identifying Dislocations Among EM Rates as US Rates Sell Off

Alpha Bites: Receive Czech 5y Vs Pay Poland 5y Rate

Battle Lines Drawn As BABA Builds Out First/Last-Mile Capacity; But Who Will Fund 75+ Bn CNY CapEx?

FX & Rates

<ul>
<li>In this week’s Alpha Bites, I recommend closing the cross-country rates trade to pay Poland 5y against receiving Czech 5y rate, a recommendation I made in July.</li>
<li>I had recommended the trade because the Polish central bank was behind the curve in addressing accelerating inflation, which it is attempting to correct now by hiking aggressively.</li>
<li>With the Czech central bank having been hawkish and ahead of the curve, the rate differential between the two is narrowing as rates in Poland rise.</li>
</ul>


In this week’s Alpha Bites, I recommend closing the cross-country rates trade to pay Poland 5y against receiving Czech 5y rate, a recommendation I made in July.
I had recommended the trade because the Polish central bank was behind the curve in addressing accelerating inflation, which it is attempting to correct now by hiking aggressively.
With the Czech central bank having been hawkish and ahead of the curve, the rate differential between the two is narrowing as rates in Poland rise.


Alpha Bites: Take Profits on Receive Czech 5y Vs Pay Poland 5y Rate

PLN 5Y

Alpha Bites: Take Profits on Receive Czech 5y Vs Pay Poland 5y Rate