Commentaries

10 May 2021

Valentin Betrix

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

The RAM (Lux) Systematic Funds - Long/Short European Equities Fund (Class-I EUR net of fee*) posted a performance of 3.09% in April.

Both sides of the book contributed positively again as re-pricing in the most stretched segments of the market continued in April, while European Equities kept marching higher after strong Q1 earnings out of the US. Our Long Value and Machine Learning engines kept benefiting from the recovery of undervalued companies in the universe, while our Long Momentum engines contributed also nicely on the upside, capturing well the recovery trends. The Low Risk book ended up just slightly ahead of the market, generating positive alpha over the month too. The fund’s Short selection had a positive contribution again in April, as some of the most overvalued Growth stocks in Europe, for instance “Hydrogen” plays, kept under-performing. The fund remains net Long Industrials, by far the largest gross exposure of the fund given the dispersion of valuation in the sector, while being net Short Biotech, Hotels and Airlines.

Source: RAM Active Investments.