KeyPoint Capital Manages Volatility In May

Jun 28 2010 | 1:29pm ET

While the S&P 500 and MSCI REIT index were each down 8.2% and 5.7% in May, respectively, KeyPoint Capital Management kept its volatility under control during the tumultuous month.

“We are very pleased with the portfolio’s positioning, which allowed us to mitigate the overall market’s volatility,” said Rod Hinze, portfolio manager. The Dallas, Texas-based firm's Real Estate Opportunity Hedge Fund returned -1.4% gross for the month of May, leaving it up 11.7% gross YTD.

KeyPoint is outperforming its benchmark and also ranks in the top 15% of its peer group (long/short equity directional), according to Bloomberg Data (Bloomberg Ticker: KEYREOH).

“We continue to see opportunities on both the long and short side in the real estate space. In what we believe to be a slow growth environment, public REITs have excellent access to capital and quality acquisitions, which will undoubtedly create attractive long opportunities, for example,” said Hinze.

The S&P 500 has returned -2.3% YTD though May and the MSCI REIT index returned 8.8% YTD though May, while KeyPoint Capital has reported gross returns of 11.7% during the same period. Additionally, the fund’s annualized standard deviation is 10.9% compared to the S&P 500’s annualized standard deviation of 21.2% and the MSCI REIT index’s annualized standard deviation of 42%.


In Depth

Q&A: Decathlon Capital On Revenue-Based Alternative Lending

Oct 30 2017 | 3:49pm ET

The explosion in private credit activity since the end of the financial crisis is...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Saxby: Not All EBITDA Is Created Equal

Nov 30 2017 | 8:02pm ET

Record levels of dry powder are driving competition among private equity firms to...