Here is my 1Q14 letter to investors in my hedge fund.
My out-performance continues in 1Q14.
1Q14 Performance Summary*
Novo Fund: 2.7%; Since Inception: 47.2%
L/S HF index**: 1.7%; Since Inception: 27.2%
S&P 500: 1.8%; Since Inception: 46.3%
**Barclay’s Long/short Hedge Fund index
Monthly Std Deviation
Novo: 3.7%, S&P: 5.1%
Beta vs S&P500 = 0.39
Correlation vs S&P500 = 0.28
*The Fund returns in Exhibits 1-2 above were calculated by Novo Capital Management, LLC or its administrator, Trident Fund Services, Inc., all returns for 2008 were audited by Habif, Arogeti and Wynne, LLP, all returns for 2009, 2010, 2011, 2012 and 2013 were audited by Joseph Decosimo and Company, PLLC. Returns for 2014 are unaudited. The Fund returns in the exhibits above are net of applicable Fund expenses. In addition, performance is net of a 1.0% per annum management fee and 10% annual performance fee since inception. The S&P 500 and Barclay Equity Long/Short Index are well-known stock market indices, which are included merely to show the general trends in the equity markets in the periods indicated and are not intended to imply that Novo Fund’s hypothetical portfolio was comparable to the indices either in composition or element of risk.
This communication is neither an offer to sell, nor a solicitation of an offer to buy securities or interests in any fund, which can only be made by the offering memorandum for such securities or fund, nor does it constitute investment advice with respect to the purchase or sale or any particular security or investment product.