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CFA Level 2
Alternative Investments

Understanding Global Macro Hedge Fund Strategies

Easy Hedge Fund Strategies Global Macro

Alice is an investor interested in diversifying her portfolio by allocating a portion to hedge funds. She comes across several hedge fund strategies, including one known as Global Macro. This strategy is aimed at taking advantage of macroeconomic trends across various markets, including currencies, commodities, and interest rates.

Alice wants to understand how Global Macro strategies differentiate themselves from other strategies, particularly regarding their reliance on economic analysis. She attends a presentation where the fund manager discusses the main focus of Global Macro strategies.

Which of the following statements best describes the primary focus of Global Macro hedge fund strategies?

Hint

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