Disrespecting the Tail (guest: Dean Curnutt)
The Market Huddle
00:00
The Risk-Arb Strategy
Lehman wanted to do like a passive portfolio of risk-arb. They never claimed to do any research on the deals. Lehman, among others, really just wound up being a warehousing facility. So they would do the trades in cash and then we would flip them over to equity swaps and just earn a swap fee.
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Transcript
