Commentaries

9 January 2019

Thomas de Saint-Seine

RAM (LUX) SYSTEMATIC FUNDS – LONG/SHORT GLOBAL EQUITIES

 

The RAM (Lux) Systematic Funds - Long/Short Global Equities Fund returned +1.20%* (PI USD class – net of fees) in December. Despite global stocks concluding a dreadful 2019 with a whimper in December, our Fund was able to produce significant positive alpha in December. This positive alpha was generated primarily by our short engines, as our long strategies suffered in a rapidly falling market. Within our long engines, our Defensive strategy was the month’s stellar performer, followed by Value and Momentum. Conversely our Short Momentum engine was the most alpha generative, while our Short Value also contributed nicely, undercutting the market. At the country level, we witnessed strong contributions from both Switzerland and the UK, while Sweden also added to our performance. Conversely, picks across North America (Canada and the U.S.) weighed, with our strong short stock selection failing to offset losses stemming from our long picks here. On a sector basis, Materials and Industrials contributed strongly, as did Energy names. Again, positive alpha was generated within our short engines, offsetting losses felt in our long engines. On the negative side, Health Care and Financials weighed.

*Sources : RAM Active Investments