The AMP Total Return Fund was up +0.01% in January, bringing its 12 month return to -32.6%.
The Fund's underlying managers maintained an extremely low level of exposure during the month, and due to the Fund's active risk reduction in the last quarter of 2008 leverage was around 1.2x. Positive returns were gained in macro/commodity strategies, in particular natural gas, European emissions trading and gasoline markets. Negative returns came from leveraged loan markets due to a lack of liquidity, as well as distressed and event driven strategies. The manager continued to reduce exposure to certain strategies, including fixed income and distressed securities, believing that this, along with reduced amounts of leverage, will position the Fund well to take advantage of future opportunities.
