Malachite Capital Gains 2.82% in January

Feb 16 2017 | 12:40pm ET

Malachite Capital finished January up 2.82% and kept its winning streak going after a strong 2016. The monthly return topped the S&P 500’s gains of 1.79%.

The hedge fund said in a statement that it banked gains on “uncorrelated risks in the U.S. and Asia.”

Malachite finished 2016 with a 22.3% return, which easily topped the S&P 500’s 9.54% annual gain.

Founded in 2013 by former Goldman Sachs colleagues Jacob Weinig and Joseph Aiken, Malachite Capital Management is a global, market neutral, equity-derivative relative-value fund based in New York. The fund seeks to earn long-term, risk-adjusted absolute return by capturing the value created from structural inefficiencies and short-term price anomalies in global equity index volatility markets while avoiding exposure to binary macro risk scenarios.

Co-founder Jacob Weinig said in an interview with Finalternatives that current market conditions are creating a variety of opportunities. 

“We are excited about the opportunity set available to us in the current market. 2017 should bring continued muted market volatility while the uncertainty surrounding President Trump’s agenda will keep opportunities available,” Weinig said. “We anticipate a Trump put on the markets as he clearly doesn’t want any preventable black eyes to surround his first 100 days. Carry should work well in 2017 with intermittent and very short lived market shocks.”

Since its inception in 2014, the fund has returned 41.29%, topping the S&P 500 three-year return of 23.29%.

Malachite’s AUM currently sits near $220 million. Weinig said he anticipates that this fund will surpass $300 million in assets during the second quarter of 2017.


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