March 2017: Altaica Alpha Strategies Fund: -0.64%

Within the portfolio we witnessed some extremities in the results but a moderate movement in the total. The differences in return development between the various strategies was particularly large. The value of a diversified portfolio of hedge funds with a low cross correlation showed its merits again. The focus of the portfolio, CTA’s (Managed Futures funds) moved throught challenging market circumstances. Especially on the commodity and currency markets movements were erratic. Two funds from our selection suffered losses which ran towards the 10%. Two other funds still managed to squeeze out a small profit. On balance the category amounted to a loss of just 3%.

We were happy to see that our Long / Short Equity fund selection was able to take advantage of the positive sentiment in the equity markets. The Long Short Equity managers achieved a positive return of almost 5.5%. In particular, the European Long Short manager did extremely well with an increase of over 10% in March and thus went to the positive extreme of our universe. For the other strategies, it was a quieter month. Multi Strategy funds gained about 0.8%. The Event Driven and FX (currency trading) both lost 0.5%. The portfolio in March went into the red mainly due to the drop of the US Dollar (-0.88%).