The Lanterne Arran Fund has returned 0.04% in July to bring 2009 YTD to 23.72%.
The manager noted that cyclical stocks, which have outperformed the defensive sector as global growth forecasts have been revised up, are looking overbought in the short term as companies report annual results in August. Looking beyond that, they noted that the outlook for cyclicals, particularly resource stocks remains positive as the global de-stocking cycle ends.
The Arran Fund is Lanterne's offshore fund, launched in August 2004 and has funds under management of US$30m out of Lanterne's total FUM of US$90m. Both the Arran and Ailsa (onshore) funds use an actively managed long short trading style investing primarily in ASX100 stocks. Top down macro themes and bottom up fundamental research combine with active trading to construct portfolios designed to provide returns regardless of market conditions.
Lanterne's annualised return since 2002 is 12.63%.
