Family office-backed alternative asset manager Trium Capital has attracted hedge fund manager Peter Kisler to manage his global macro hedge fund. Kisler has managed the fund since its inception a decade ago. He joined Trium in March 2021 and the Cayman fund will be renamed the Trium Larissa Global Macro Fund.
Kisler joins from North Asset Management, where he managed his strategy since its inception in April 2011. Prior to this, Kisler built up more than a decade of experience trading and managing fixed income and FX instruments. Kisler was a managing director at Swiss Re Group, London, from 2006 to 2010, where he managed USD3 billion in assets. Santiago Clarens is also joining Trium as assistant portfolio manager of the fund.
Kisler’s alpha-generating prowess rose in prominence during Q1 2020, when his positioning helped power a 38.3 per cent return for the quarter, on his way to a return for 2020 of 48.1 per cent.
Since the fund’s launch, it has generated an annualised return of 10.4 per cent. These positive returns have been generated with a negative correlation to the S&P of -0.12, while also being uncorrelated to other macro hedge funds (-0.27 to the HFRI Macro Index).
The launch complements Trium’s other macro strategy, managed by ex-Eclectica and Brevan Howard portfolio manager Thomas Roderick.
The Trium Larissa Global Macro Fund’s consistent return profile through volatile conditions is likely to appeal to the growing demand for uncorrelated strategies during a time of increasing market dislocation and shifting rate dynamic.
Kisler sees excellent opportunities for his global macro strategy: “The portfolio has performed well in volatile years, harnessing market dislocations and changing dynamics. While the world’s central bankers are still reluctant to talk about raising rates, this will be hard to avoid as growth and inflation pick up in the second half of the year.
“This market is very similar to 1999-2000, and history may repeat – with a rally in risk assets, followed by a sell-off in rates, then a sell-off in emerging market and corporate credit spreads, and finally a sell-off in equities. We have seen a substantial rate move already but anticipate there will be more to come.
“We have reduced rate shorts and are now starting to tactically short credit risk. Should the markets continue to rise, we see upside in emerging market currencies, which have not caught up to the rally we have seen in commodities. We also see good opportunities in distressed debt in emerging markets countries.”
Co-head of Trium Capital Donald Pepper says: “We are delighted Peter has chosen to bring his high performing global macro fund to Trium. Peter brings 25 years of global macro experience and a decade long track record of delivering strong performance through market conditions that have not always been friendly to global macro strategies.
“To me, along with ten years of annualising >10 per cent returns, the key attraction is how uncorrelated these returns have been – up in 2011, up strongly in Q4 2018, up very strongly indeed in Q1 2020. Peter has delivered uncorrelated returns when investors have most needed this diversification.”
