June 2023 NewsLetter
Management comments
In June, the strategy showed a monthly performance of +0.89% gross. This is not bad but to be honest, our expectation was a bit higher – in mid-Jun an accumulated return varied from 2.5% to 2.7%. Before the closure of 22-Jun the portfolio reached the maximum gross (133%) and net (125%) exposure while individual leverages on the main portfolio constituents (AAPL, AMZN and TSLA) exceeded 200%. The next day, all three stocks opened significantly lower, so the robot had to fix a loss of 1.65% that day. That loss was not recovered, however the most days (68%) the robot made profits as it should do.
The strategy underperformed the benchmark EurekaHedge North America Long Short Equities Hedge Fund Index (+3.24% p.m. as published on July 7, 2023)
Last Month
The best day was 2-Jun with daily return of 0.94% and 23-Jun was the worst day when daily losses reached -1.65%.
YTD
This year March is the best month with 2.96% p.m. gross, and April remains the worst with -0.93% p.m. gross.
The full Newsletter can be found here: ARQuant Newsletter 2023-06
Warning: Past performance is not a guarantee or a reliable indicator of future results. All investments contain risk and may lose value. Investing in foreign denominated and/or domiciled securities may involve heightened risk due to currency fluctuations. Currency rates may fluctuate significantly over short periods of time and may reduce the returns of a portfolio. Derivatives may involve certain costs and risks such as liquidity, interest rate, market, credit, management and the risk that a position could not be closed when most advantageous. Investing in derivatives could lose more than the amount invested. Diversification does not ensure against loss. There is no guarantee that these investment strategies will work under all market conditions and each investor should evaluate their ability to invest for a long-term especially during periods of flat market or downturn in the market.