- Advertisement -

Related

Brummer & Partners in rough waters

- Advertisement -

Stockholm (HedgeNordic) – For the Swedish hedge fund manager Brummer & Partners, February wasn’t the best of times, looking at the numbers for all the funds within the goup.  Brummer Multi-Strategy (BMS) ended the month in negative territory by -1,9% (acc. 2016: -2,5%). This is the worst start of a year for the BMS since the launch in 2002. The Nordic Hedge Index (NHX) advanced by 0,5% in February but remains under water by 0,6% for the year.

Marked by the high volatility on all global markets, the rapid movements took it’s toll on almost all of the funds within BMS, allthough being close to market neutral, Brummer says in a comment on the monthly result.

Weighing heaviest on the multi-manager portfolio during February was the tech fund Manticore, with -11%, due to very large swings in tech stock pricing. The biggest positive contribution came from the systematic trend following CTA, Lynx, and quant/macro driven Florin Court. Both of them succeeded in catching the very strong trends during the month, in particular within fixed income and commodities.

Due to the fact that BMS performance has been below expectations, changes have been made to the portfolio composition. BMS has redeemed all holdings in Zenit (the actual starting point of the Brummer hedge fund history), Canosa and MNJ. The reasons behind it are the fact that none of these have contributed enough to the overall performance for BMS.

The capital is now distributed among the remaining funds. The newest family members, Florin Court and L/S manager Bodenholm will get larger allocations, according to the managers. Also the ’old timers’ within the group – Lynx and Nektar – will see more money coming their way when BMS re-allocate the portfolio.

 

Picture: (c) Romolo-Tavani—shutterstock.com

Subscribe to HedgeBrev, HedgeNordic’s weekly newsletter, and never miss the latest news!

Our newsletter is sent once a week, every Friday.

HedgeNordic Editorial Team
HedgeNordic Editorial Team
This article was written, or published, by the HedgeNordic editorial team.

Latest Articles

Diversification is Easy to Buy, Hard to Get: The Liquid Alternatives Test

By Luc Dumontier, CIO Global Asset Management, iM Global Partner: Rarely have global portfolios carried such concentrated exposure to a single bet. US equities...

Unlocking a Third Active Lever

By Steven Braun and Corey Hoffstein: Long-only active management traditionally has two levers for generating excess returns. The first is security selection: owning securities...

Active and Alternative ETFs Gain Ground as Market Splits Between Cost and Value

The ETF market is entering a new phase in which growth is increasingly concentrated at opposite ends of the cost spectrum. While ultra-low-cost passive...

Beyond Passive: How Institutional Investors Are Reshaping Europe’s ETF Market

Flows into exchange-traded funds (ETFs) continue to show little sign of slowing, but the record asset growth tells only part of the story. Beneath...

Finding Leverage: From Ecology to Asset Management

By David Seekell: The biggest change since moving from academia to asset management is that I started getting advertisements for private jets in my...

Azpire Capital Brings Systematic Long/Short Strategy to Digital Assets

A trio of founders from Aarhus, Denmark, is launching a fund built around a systematic long/short strategy for digital asset markets. After almost two...

Allocator Interviews

In-Depth: Diversification

- Advertisement -

Voices

Request for Proposal

- Advertisement -