Long Short Strategy

CFA Level III Equities
#1

Question from Schweser Exam Practice volumn 1. Morning Session 1 question 6B

Carl Johnson is a new board member for High Grove and also a money market manager. Johnson has contacted Gustava and proposed an allocation between manager A and C of 100% and 100% with a 100% short position in B to fund the allocation. Manager B allows short positions in their fund.

Question is asking to identify the strategy According to me its a short extension strategy with a net 100% long position. But the answer says its a long short strategy with a net 100% long. I am confused my answer and the examiner answer are both same or different?

Thanks in advance

#2

short extension strategy is a subset of long-short where the long and short needs to be coordinated with at least 1 manager.

in this case, 200 long only and 100 short is simply long short.

#3

Thanks bro… I missed this point which you highlighted now… thanks buddy …