Hedge fund manager Crispin Odey, an advocate of Brexit, renewed his hotly debated wager against the British pound as U.K. lawmakers’ failure to agree on the divorce terms heightened concerns the country may crash out of the European Union without a deal. Bloomberg’s Nishant Kumar reports on “Bloomberg Markets.” (Source: Bloomberg)
Crispin Odey Renews Wager Against The British Pound
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A hedge fund manager as we said Crispin Odey renewed his hotly debated wager against the British pound as UK lawmakers failed to agree on the divorce terms. Heightened concerns the country may crash out of the European Union without a deal for more. We're joined now by Nishant Kumar. Bring back hedge fund reporter hop from this group. Very good to have you with us then Nishant very good to have you on the program. So this is this isn't specifically tied to breakaway parts of the Labour Party getting off and doing their own thing but it is tied to the bigger picture whether we're going to see it no deal breaks it and today's assessment of that isn't it.
Absolutely. So he put on this bet again sometime last month just a few weeks before he had unwound this trade trade for which he has been frequently criticized on Twitter and it he has always almost abused him for this but that he's supported Brexit that he pushed UK towards uncertainty and now he's here shorting Sterling. But he had this bet running for a long time he unwound that last month and very quickly put on this game and hasn't made the pound on March we I guess we have some suggestions that perhaps this was this was coming yet could be because his fund is way way smaller now. So on the brakes that day he made 220 million pounds just on one day retained by the way lost for the next few weeks as markets recovered. But in terms of real investment investment it's not probably huge enough to move the market.
And this is basically him. He seems to have put in place a lot whenever he sees a tail risk increasing in likelihood that's where these kind of calls come from because previously it's been around referendum this time around no deal that that appears to be the case here.