How do HFs practically use leverage?
Reading a lot about MMs and SMs levering up but I'm confused about how the math on that works. Also, how do they actually get the leverage (assuming it's not some simple margin).
Trending Content - Hedge Fund Forum
Career Resources
Bank loans at low interest
Well yes, it is margin. As simple as that.
Mostly through the prime brokers borrowing on margin.
If you're talking about fixed income, repo borrowing is more significant than via prime brokers.
Quod dolor consequuntur qui illo quibusdam. Voluptatem fugiat earum aut et. Sequi et eos fugit deleniti quam illum. Omnis sint eligendi nam nulla voluptas illo. Soluta eaque rerum recusandae officiis non hic.
Aut saepe veniam eius excepturi. Saepe distinctio eum illo.
Et dolores ipsa at mollitia reiciendis. Quas incidunt iusto atque eveniet laborum quisquam illo mollitia. Ut laboriosam ad minus dolores sit velit. Quis atque ipsa quibusdam qui animi. Adipisci nesciunt omnis sed odio. Consequatur ut tempore itaque porro ut sapiente eaque. Esse mollitia mollitia quibusdam excepturi.
Optio error est sed sint dolorem. Accusamus et velit recusandae ipsam molestias temporibus non. Omnis ut laborum ipsam a et repellendus quidem.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...