Welton’s Global Directional Portfolio Gains 18.31% In 2010

Jan 20 2011 | 10:43am ET

While the average hedge fund indices were bested by the broader markets in 2010, Welton Investment Corporation outperformed both of them. The firm’s flagship Global Directional Portfolio returned 18.31% last year, while the S&P 500 Index returned 12.78%, the HFRX Global Hedge Fund Index returned only 4.75% and the Barclay CTA Index gained a mere 6.34%.

According to the firm, the 2010 investment landscape was dominated by two major global macro themes, declining interest rates due to quantitative easing and escalating commodity prices. The Global Directional Portfolio, which manages $549 million, capitalized on the surge in prices for risky assets through long positions across a diverse group of agricultural, energy and metals futures. Sovereign quantitative easing initiatives around the world drove down interest rates in the first three-quarters of 2010 and the portfolio harnessed this opportunity through long positions across government fixed income futures.

“Our performance isn’t reliant on the whims of the broader markets because our approach simply won’t allow it. We’re too diversified, plus we’re mining many investment opportunities that are not widely followed,” said Patrick Welton, chief executive officer of Carmel, California-based Welton.

Welton Global Directional Portfolio has annualized returns since inception in 2004 of 14.34%. During that period. All of the portfolio’s calendar year returns since 2004 have been positive, with the exception of 2009 when the portfolio was down 5.57%.


In Depth

An Interview With Harvest Volatility Management's Rick Selvala

Mar 23 2017 | 5:39pm ET

Several years of extremely low interest rates have pushed some investors into equities...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

SEI: Private Debt Coming Into Its Own

Mar 8 2017 | 9:24pm ET

The explosive growth of private debt over the past few years has caused the lines...

 

From the current issue of