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The M* blurb says little. Certainly yiou can't judge a manager on such short term results.
Without knowing more, the losses probably relate to being concentrated in a relatively small number of holdings. Stuff happens when you concentrate.
I'd also guess his foreign holdings must be largely unhedged, exacerbating any currency losses.
My DODLX (global bond) took a hit, but less than 1% on Monday. The junk funds I watch didn't do that badly either. For whatever reason, bonds didn't seem to benefit much from the equity rout.
Well, there you go: I just checked his portfolio at Morningstar. It looks like his 3% short on "09/16/15 R 60 Markit Cdx.Na.Ig S24 5y Ba" probably reverse-arb'd his 3% long "09/16/15 P 100 Markit Cdx.Na.Ig S24 5y Ba" while the 3% long position reported for "E-mini S&P 500 Index Future Mar15" goofed his 10% e-mini short on S&P September futures.
There is, by the way, an entire portfolio that looks just like that.
And he's initiated March 2015 futures positions? Wouldn't that have to be a March 2015 pasts position?
Just posted best and worst unconstrained funds before I read this. Bill is currently approx 50% emerging bonds (primarily mexico and brazil). Also remember that this should not be considered a bond fund. It's really a derivative laden long/short fund that happens to use bonds as it's primary tool.
Comments
Without knowing more, the losses probably relate to being concentrated in a relatively small number of holdings. Stuff happens when you concentrate.
I'd also guess his foreign holdings must be largely unhedged, exacerbating any currency losses.
My DODLX (global bond) took a hit, but less than 1% on Monday. The junk funds I watch didn't do that badly either. For whatever reason, bonds didn't seem to benefit much from the equity rout.
There is, by the way, an entire portfolio that looks just like that.
And he's initiated March 2015 futures positions? Wouldn't that have to be a March 2015 pasts position?
David
LOL