Performance 2020
Third quarter 2020
Taiga Capital Investment Class A had a strong start in its first quarter on the financial markets. The Class A outperformed all of its benchmark indices during the same period (July to September 2020) by delivering a return of 7.35% with a volatility of 3.32% for the quarter.
These three months experienced high volatility in the financial markets, with intraday swings of up to -6%. However, the fund’s strategies proved robust and helped mitigate these negative effects.
The search for new strategies has been productive, and numerous new strategies have been implemented. Following the generated gains, a new portfolio of strategies was activated at the beginning of September.
During the upcoming quarter (October to December 2020), these new strategies will be added to the existing ones, providing greater diversification and further limiting the risk of significant market fluctuations (particularly due to the US elections on November 3, 2020).
Fourth quarter 2020
The results for the fourth quarter of 2020 were disappointing. The yield of Class A for the quarter stands at -10.52% with a volatility of 3.18% during the same period (risk exposure).
The yield should be observed over a continuous 12-month period, in line with our performance objectives.
A significant portion of the losses can be attributed to the violent reaction of all markets (equities, bonds, commodities) due to concerns about the outcome of the US elections. Our systems incurred significant losses during the last two weeks of October. Subsequently, these losses decreased while uncertainty persisted in the financial markets, particularly due to the contested US presidential election.
Despite a period of increased volatility in the financial markets, the diversification of our strategies allowed us to maintain a very low level of risk exposure, as we mentioned in our previous report. Our risk level even decreased compared to the previous quarter.
We continue our research for new strategies to maintain our high level of diversification and reduce our exposure to market risks.
