ART Bets Big on Yen as BoJ Rate Hikes Loom

Australia's second-largest pension fund has taken an unusual bet on the Japanese yen.

The Australian Retirement Trust (ART), which manages approximately A$370 billion of savings, has built its largest 'overweight' position in the yen in years, according to senior portfolio manager Jimmy Louca.

This move is a rare bullish bet on the yen, when many investors are looking to sell it. The currency recently hit a 40-year low as traders expected the Bank of Japan (BoJ) to be slow to raise interest rates while energy costs remain elevated.