Fund Portfolio Commentary

Portfolio Commentary for the Absolute Strategies Fund is provided on a quarterly basis. Additional information can be found within the shareholder letters in the Annual and Semi-Annual Reports. If you are a financial adviser and would like to be added to our e-mail distribution list, contact us by e-mail.

“The Fund has performed well given the incredible moves in markets over the past six months and the continued divergence between growth vs value indices. Our hedging and net short position in February and March enabled the Fund to capitalize on volatility and produce a positive return during the peak to trough market crash (Feb 19 to Mar 23)…. We believe having long exposure in under-valued, solid companies vs. short exposure in over-valued growth can provide substantial diversification and unique risk-adjusted performance to an otherwise beta-driven portfolio. The Fund also has a large allocation to convertible arbitrage, which has been a consistent performer and adds balance to our long value, short growth exposure. ” (Beta is the measure of a fund’s relative volatility as compared to the S&P 500 Index which by definition is 1.00) [read all]

“Our Funds are focused on processes and strategies to create various forms of alpha in both equity and credit markets. Focusing on alpha, whether it be a long-only, neutral or short biased, can assist investors and asset allocators to achieve diversification and can help maintain a prudent assessment of financial market history. Not all market cycles provide a beneficial backdrop for achieving alpha performance, but these strategies do tend to perform best during the most difficult environments for passive, beta-style investments.” [ read all ]