April was the worst month for equities since March 2020, with the S&P down -8.9% month over month. Thankfully there’s bonds to fall back on right? For those living under an igneous formation, the inflation-Fed theme continues to provoke selling in equities and a tightening of credit (pushing bond prices down). As elsewhere reported, this is the worst bond market since 1842. So, no, bonds aren’t helping. The 60/40 portfolio feels like a single asset at this point. This current market efficiently separates the sheep from the goats. As you review your diversification strategy, make sure to incorporate strategies whose return drivers aren’t structurally correlated to one another, i.e., combine offense (stocks, bonds) with defense (volatility, trend following). Trend following strategies, especially those without equity beta, continued their strong performance. The funds below bear this out.
| Name | Ticker | Month to Date | Year to Date | Assets Under Management |
|---|---|---|---|---|
| Hedged Equity | ||||
| Catalyst Buffered Shield Fund I | SHIIX | -5.40% | -12.19% | $88,640,770 |
| Rational Equity Armor Fund Instl | HDCTX | -5.74% | -4.82% | $72,748,184 |
| EAVOL NASDAQ-100 Volatil Overlay Risk A | CLPAX | -10.67% | -16.56% | $15,882,143 |
| Certeza Convex Core A | CNVEX | -7.28% | -22.03% | $7,455,806 |
| Equities + Managed Futures | ||||
| Catalyst/Millburn Hedge Strategy I | MBXIX | 0.93% | 5.19% | $3,616,718,622 |
| Standpoint Multi-Asset Institutional | BLNDX | 1.24% | 7.08% | $317,337,767 |
| Active Fixed Income | ||||
| Catalyst/Stone Beach Income Opp I | IOXIX | -0.55% | -0.67% | $19,019,745 |
| Catalyst Multi-Strategy I | ACXIX | -1.52% | 3.28% | $5,471,817 |
| All Weather / Multi-Strat | ||||
| Rational/ReSolve Adaptive Asset Allc I | RDMIX | 4.36% | 11.62% | $100,593,819 |
| Astor Macro Alternative I | GBLMX | -2.40% | -4.69% | $41,780,518 |
| Catalyst/Teza Algorithmic Alloc I | TEZIX | -5.16% | -17.52% | $5,077,339 |
| Catalyst/Millburn Dynamic Cmdty Stgy I | DCXIX | 0.71% | 38.89% | $25,891,947 |
| Options | ||||
| Catalyst/Warrington Strategic Program A | CWXAX | 1.18% | 2.88% | $106,434,210 |
| AlphaCentric Premium Opportunity A | HMXAX | -4.57% | -7.52% | $161,978,515 |
| Rational Tactical Return Instl | HRSTX | -0.12% | -0.29% | $298,633,776 |
| Commodities | ||||
| SilverPepper Cmdty Strats Glb Macro Inst | SPCIX | 2.16% | 25.27% | $225,934,336 |
| Direxion Auspice Broad Commodity Strategy | COM (ETF) | 1.48% | 17.16% | $424,899,413 |
| SDCI USCF SummerHaven Dynamic Commodity | SDCI (ETF) | 7.53% | 37.30% | $10,160,651 |
| Managed Futures | ||||
| AXS Chesapeake Strategy I | EQCHX | 6.31% | 21.19% | $37,140,980 |
