- Advertisement -

Related

Lynx “down but not out”

- Advertisement -

Stockholm (HedgeNordic) – In a recent article in Swedish business magazine Dagens Industri (DI), Svante Bergström (pictured), founder and CEO of Swedish systematic trend following hedge fund Lynx, was asked whether there is a risk that the fund will be closed by Brummer & Partners. The reasoning being that Brummer is keen on closing non-performing funds, highlighted by the closure of Zenit last year, and that Lynx currently is on track for a third consecutive year of negative performance numbers.

“Is there a risk that Brummer will close Lynx? Definitely not”, Bergström says continuing:

“Even though we have experienced an extended period of negative performance, we remain trusted by our institutional clients”.

At the same time Bergström is self critical:

“We are of course disappointed with our performance during the last couple of years”, he was quoted as saying.

Lynx was down around 11 percent on the year going into July but has since recovered as July numbers point to a positive month with the fund gaining 3.7 percent to bring the year-to-date number to -7.9 percent. Although improved, Lynx could well be on track for its worst performance in a single year since its inception in May 2000.

“The main reasons for the recent weak performance numbers is that volatility has hovered around record low levels while few markets have moved in a way that you can profit from them using a trend following strategy”, Svante Bergström told DI while at the same time reassuring that a large group of quant analysts are working hard to turn the development around.

“All our big competitors around the world has also struggled during this period”, Bergström highlighted referring to the weak performance numbers for the industry since 2015.

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

Our newsletter is sent once a week, every Friday.

Jonathan Furelid
Jonathan Furelid
Jonathan Furelid is editor and hedge fund analyst at HedgeNordic. Having a background allocating institutional portfolios of systematic strategies at CTA-specialist RPM Risk & Portfolio Management, Mr. Furelid’s focus areas include sytematic macro and CTAs. Jonathan can be reached at: jonathan@hedgenordic.com

Latest Articles

AI Isn’t the Transformation. Your Hedge Fund Operating Model Is.

By Ashish Shrestha, Senior Solutions Consultant at MAIA Technology: Artificial intelligence is moving quickly from experimentation towards implementation across the hedge fund industry. For...

Volt Diversified Alpha Posts Second-Best Month

Volt Diversified Alpha Fund delivered an estimated 5.8 percent gain in August, its second-best monthly performance since launching in early 2017, as its systematic...

The Lifecycle of a Trade: Where Nordic Managers Win or Lose Their Edge

Placing the trade is the easy part, but it is only as good as everything around it. The edge is rarely won at the...

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 at Newfound Research and Return Stacked® Portfolio Solutions: Long-only active management traditionally has two levers for generating excess returns. The first...

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...

Allocator Interviews

In-Depth: Diversification

- Advertisement -

Voices

Request for Proposal

- Advertisement -