Tumbling to third place after two years on top is the J.P. Morgan trio helmed by Saul Doctor, who also co-leads (with Rishad Ahluwalia) the No. 1 team in Credit Derivatives. The analysts produce “thought-provoking research,” declares one client. This year investors will worry less about systemic risk in the euro zone and focus instead on “trying to find turning points in the market, trying to pick out rich versus cheap credits — things that are overbought and oversold,” Doctor says. “The fact that tail-risk events have been removed from the table means that we can have a more normal economic environment.” The researchers offer four strategies for finding alpha in the current market: being outright long credit, selling credit volatility and delta-hedging it, being long equity or junior mezzanine tranches and delta-hedging those, or opting for a duration-rated steepener where market exposure is hedged out. — Ben Mattlin
Caio Natividade & team Deutsche Bank Julien Turc & team Société Générale |
Economics & Strategy – Quantitative Analysis: Third