Kathleen Kelley Says GBP/USD Could Fall to 1.20

Kathleen Kelley, formerly of Kingdon Capital and veteran global macro portfolio manager, stated Wednesday that the U.K. may be the weakest of all European economies.

From an investment stand point, Kelley cites that shorting the euro is a very crowded trade and is difficult to do. She believes that the U.K. will have to become a seller of assets, as has the European Union, which will eventually lead to a depreciation of the pound. Kelley believes that the GBP/USD could fall as low as 1.20 in the worst scenario and sees U.S. dollar longs as the best trade in forex.

Kathleen Kelley was speaking at the Delivering Alpha conference in New York. Tune into CNBC for coverage of the event and follow Benzinga for updates throughout the conference.