Financial Risk Management's (FRM) Global Equity Fund posted a loss of -0.85% in November, while their Diversified Australia Fund posted -2.29%. The YTD returns of these funds now stand at -26.19% and -21.43% respectively.
FRM's Global Equity Fund, a fund of hedge funds (FoHF) which pursues an active strategy in equity markets, outperformed its benchmark (the MSCI World Index hedged in AUD) which returned -6.08% in November. The fund recorded losses in most geographic regions, with Japan the only region which prodcued a positive absolute return.
The Diversified Australian Fund, a FoFH which aims to produce returns in excess of cash with a near zero beta to traditional assets, reported losses in most strategies. Positive returns were generated by directional trading managers, specifically those with systematic and relative value macro strategies.
