In an effort to keep you updated on the 361 Global Long/Short Equity Fund, below are some highlights for the month – mainly to provide context around the Fund’s recent monthly performance.
January 2021 Highlights:
- In January, AGAWX was up 1.43% for the month vs. the MSCI World Index, which was down -0.99%. The Morningstar Long/Short Equity Category was down -0.69%.
- The outperformance for the month was driven by the alpha model—specifically stock selection in both consumer discretionary and consumer staples. Both sectors globally were down for the month, but individual stocks held in the portfolio in both sectors resulted in positive performance for January.
- The portfolio exhibited muted sensitivity to the so called “stay at home factor” after additional risk measures were implemented as a result of the emerging factor throughout 2020. This resulted in the portfolio driving returns more purely from targeted factor exposure and less from unintended exposure which is a noteworthy and favorable outcome.
- High beta stocks outperformed for the month which created a slight headwind, but positive contribution from the alpha model overcame this challenge.
- Non-U.S. stocks outperformed for the month which was beneficial for our Fund in comparison to the category, given most funds in the category are U.S. focused.