Global macro hedge funds seek profit amid turmoil

The imbalances in the global economy have created a rich environment for macro traders. Many hedge fund portfolio managers running the strategy see opportunities, particularly in emerging markets.

The policy fracture between the US Federal Reserve and the European Central Bank (ECB) has given global macro managers plenty of food for thought. The best investment opportunities could ultimately be in the emerging markets.

The ECB has kept a tight rein on monetary policy since the onset of the financial crisis and called for fiscal consolidation in Europe’s troubled peripheral economies.

In October, Spain and Portugal followed the lead of Ireland and Greece in agreeing tough austerity measures