​Elevated Nikkei 225 Long-Term Convexity Driving Fund Positioning

Since the beginning of the year, long-term convexity and skew has spiked as markets in Asia have sold off due to increased concerns surrounding China and depressed oil prices. Even following the Bank of Japan’s adoption of a negative interest rate strategy, convexity and skew has continued to spike higher, with fund managers increasingly considering ways to monetize the trend. Rob McGlinchey speaks with Société Générale’s Shane Carroll on what strategies fund managers are deploying in the Nikkei.