Bank of Japan: Overseas hedge funds' arbitrage trading appears to be increasing

According to Golden Ten Data on April 21, the Bank of Japan stated in its semi-annual Financial System Report on Tuesday that overseas hedge funds appear to have increased their arbitrage trading, which could heighten the risk of overseas shocks having a greater impact on Japan's financial markets. In addition, the report pointed out that given risk factors such as potential price corrections in high-risk assets like AI-related stocks, or the further escalation of the Iran conflict, it is necessary to closely monitor the developments of targeted hedge funds.