Commentaries

13 April 2021

Valentin Betrix

RAM Active Investments RAM (Lux) Systematic Funds - Long/Short Emerging Markets Equities funds Maxime Botti Partner & Senior Systematic Equity Fund Manager

The RAM (Lux) Systematic Funds - Global Equities Sustainable Alpha Fund (Class-I USD net of fee*) posted a performance of 4.19% in March, while the MSCI Emerging Markets index returned -1.51%.

The fund had one of its best months since launch in March, on the back of a strong market rotation triggered by the higher US yields, into undervalued EM companies and out of overvalued EM Growth stocks. All our alpha engines performed strongly over the month, our Value engines performing the best, with positive stock selection effects across market cap segments. The Long book was the main contributor to performance, as it performed strongly on undervalued Materials and Electronics picks that currently see strong demand momentum which fit well within both our Value and GARP-Momentum books.

The fund remains net short on South Korea (mainly on Healthcare), net long on Taiwan (mainly on Information Technology) and switched to a net long position on Brazil during the month. Largest overall sector net longs are Information Technology, Financials and Materials. Largest sector net shorts are Healthcare and Industrials.

Source: RAM Active Investments.