Commentaries

12 March 2021

Emmanuel Hauptmann

RAM Active Investments  RAM (Lux) Systematic Funds - US Sustainable Equities Maxime Botti Partner & Senior Systematic Equity Fund Manage

The RAM (Lux) Systematic Funds - US Sustainable Fund (Class-PI USD net of fee*) posted a performance of 1.18% in February, while the MSCI North America Index returned 2.70%.

After showing some good resilience in January, in a volatile market on the back of hedge fund deleveraging as some high shorted names were targeted by some retail investor groups, the Fund captured partially the rebound in February. Once again the Energy underweight – on the back of the strong ESG / Low Carbon profile – detracted performance. The Fund benefited from a good selection effect in the Information Technology sector, thanks to a relatively light positioning in mega cap growth names which suffered heavy losses at the end of the month, when the increase in long term US rates accelerated. It was positive to see some of the most exuberant market valuations starting to correct during the end-of-month market reversal, and we believe higher rates may lead to more emphasis from investors on current cashflows and income.

Source: RAM Active Investments