The structure of the Japan trade was a two-thirds allocation to JGB bond-market optionality and one-third betting alongside the Bank of Japan that it would weaken the yen; when Abenomics took the yen from 85 to 120, the bond third lost money but the currency third made many multiples, netting the fund roughly 250%.
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Speaker
Kyle BassEvidence Quote
“we took twothirds of the money in the fund and we bought bond market optionality right in the in JGBs. I took onethird of the money and I bet with the Bank of Japan on their ability to weaken their currency”
Source
Global Macro Investing And Geoeconomics With Hedge Fund Investor Kyle Bass | Hoover Institution— Hoover InstitutionCreated: 6/18/2026, 2:17:47 PM
My Notes
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