Investment Objective
Zest North America Pairs Relative is an actively Managed Equity Market Neutral Fund made up of diversified single stock long short positions as well as Index Relative Value Strategies. The strategy benefits from a proprietary hedging process that exploits continuous time decay cliff combining vertical and calendar spreads.
Latest Meeting Note
Meeting 07 May 2021
The fund is an Equity Market Neutral strategy investing into US large cap companies through a bottom-up selection process complemented by a proprietary hedging strategy (Dynamic Diagonal Option Spreads) that is performed on each position...
The fund is an Equity Market Neutral strategy investing into US large cap companies through a bottom-up selection process complemented by a proprietary hedging strategy (Dynamic Diagonal Option Spreads) that is performed on each position, with the aim to maximise convexity/carry while mitigating volatility and risks. This is achieved by combining long delta one cash positions with vertical (different strikes) and calendar (different time frames) spreads on single stocks (listed weekly options). The portfolio is run with low concentration (45-60 equally weighted positions, 1-2% per name) with the fund targeting 7-9% volatility per year.
Performance
| JAN | FEB | MAR | APR | MAY | JUN | JUL | AUG | SEP | OCT | NOV | DEC | YTD | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2023 | 0.9 | 0.7 | 0.4 | 0.1 | 0.4 | 0.6 | 0.2 | 0.8 | 0.0 | 0.8 | 0.7 | 0.0 | 0.7 | |
| 2022 | 0.8 | 0.8 | 0.5 | 0.1 | 0.7 | 0.8 | 0.5 | 0.8 | 1.0 | 0.3 | 0.7 | 0.4 | 0.5 |
