Harry Rady, CEO of Rady Asset Management, says that the investment approach used by long/short managers must change. “The days of the highly levered, hyper-trading, black box models are over.”
Rady says that often fund managers see a stock trading near its 52-week high, and then they jump in, instead of waiting for it to come down and even be undervalued.
Read more in EuroMoney’s article here.