Thursday, 21 August 2014
Last updated 5 hours ago
Jan 8 2008 | 12:04pm ET
Godvig Capital’s Iraq-focused hedge fund, the Babylon Fund, experienced its biggest monthly drawdown since inception, losing 5.4% in November. The drawdown slowed the US$13.1 million fund’s year-to-date returns to 13.6%.
In his monthly investor letter, portfolio manager Björn Englund partially attributed the loss to “the general spike in risk aversion globally and in the region in November, which was combined with ‘lack-of-liquidity-driven’ falling share prices on the Iraq Stock Exchange and higher yields, while the ongoing appreciation of the Iraqi dinar stalled–at least temporarily.”
The open-ended mutual fund structured vehicle’s largest losses during the month were in a few Iraqi financial services names such as Dar ElSalam Investment Bank and Kurdistan International Bank, which both lost a 25% of their value in November.
Going forward, Englund said he expects the hiccup in the Iraqi equities market to subside and the prevailing improved security and macroeconomic situation in Iraq to help “breath new life into the stock market and investors' sentiment in 2008.”
Aug 4 2014 | 7:42am ET
By now, U.S. and international subscribers have received their home or office delivery of the special 500th issue of Futures magazine. You can too!—a very special offer follows. The issue is the largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders. Read more…
The July/August 2014 issue is our largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders.
The Alpha Pages Editor's Note