Analysis: Global hedge funds plan 2023 around inflation risk – Reuters

Analysis: Global hedge funds plan 2023 around inflation risk – Reuters

NEW YORK/LONDON/HONG KONG, Jan 4 (Reuters) - Having weathered a dire 2022, many global hedge fund managers are preparing this year for persistent inflation and seeking exposure to commodities and bonds that perform well in such an environment.

A majority of the 10 global asset and hedge fund managers surveyed by Reuters said commodities are undervalued and should thrive as global inflation stays elevated in 2023.

Their other top picks included inflation-linked bonds to shield against price rises and selective exposure to corporate credit, as higher interest rates restore some differentiation in company bond spreads.