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.

Rates 10y Dashboard: Take Profits on Colombia 2s5s Flattener

FX Dashboard: Russian Ruble and Colombian Peso Finally Benefiting from the Oil Rally

Rates 10y Dashboard: Russia to Deliver a Small Rate Hike Supporting the Steepener Recommendation

Alpha Bites: A 2s5s Flattener in Colombia with Receiving Bias

Rates 10y Dashboard: Higher Real Rates in EM than in DM

Rates 10y Dashboard: Higher Risk Premium in Colombia’s Rates Than FX

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

FX & Rates

<p>The upside inflation surprise in Colombia reinforces our expectation that the central bank should start its monetary tightening cycle at the next MPC meeting at the end of the month. With the pricing of rate hikes increasing, our trade recommendation for a 2s5s flattener in Colombia has worked well. We recommend holding the trade as we see room for further flattening.</p><p>Separately, the attached file is a snapshot of the EM 10y rates market in which we seek to identify the leaders and laggards among countries by comparing the performance of each to its history as well as to other countries based on their respective betas to an EM rates index.</p>

The upside inflation surprise in Colombia reinforces our expectation that the central bank should start its monetary tightening cycle at the next MPC meeting at the end of the month. With the pricing of rate hikes increasing, our trade recommendation for a 2s5s flattener in Colombia has worked well. We recommend holding the trade as we see room for further flattening.Separately, the attached file is a snapshot of the EM 10y rates market in which we seek to identify the leaders and laggards among countries by comparing the performance of each to its history as well as to other countries based on their respective betas to an EM rates index.

Rates 10y Dashboard: Colombia’s Rate Curve Should Continue to Flatten

COP 2Y

Rates 10y Dashboard: Colombia’s Rate Curve Should Continue to Flatten