Shorting the sub-prime market is not the only way to make money these days. Crystal Lake, Ill.-based KMJ Capital Management’s $51 million KMJ Currency program is up 14.7% in August benefiting from bets in the currency market.
Ken Jakubzak, portfolio manager, profited from short positions in both the Australian and New Zealand Dollar, according to a source familiar with the firm. “He sees more opportunity ahead, despite the Fed intervention and believes the market turmoil will continue well into the end of the year,” said the source.
The KMJ Currency Program trades international currency markets using a combination of quantitative analytics and macroeconomic research. Its methodology is relatively short-term and highly opportunistic, and does not rely on trends for profit. It returned 28.8% to investors last year.