New York-based hedge fund firm Gondor Capital Management’s two hedge funds again edged their benchmarks with double-digit returns in the first half of 2017, consistently outperforming the S&P 500.
Gondor’s domestic hedge fund Gondor Partners, LP jumped 11.90 per cent through June (+2.02 per cent MTD), while the offshore Gondor Partners, Ltd., finished the first six months of the year up 10.36 per cent (+1.68 per cent MTD). Comparatively, the S&P 500 rose 9.34 per cent in the first half of the year while the HFRX was up 3.73 per cent during the same period.
“The strategy I use is non-correlated to the market,” says Vincent Au (pictured), portfolio manager of Gondor Capital. “If you review the performances of my funds, there were months that the S&P 500 was down and Gondor was up. That is the ‘value’ my funds bring to the table,” he adds, emphasising that Gondor has been consistently delivering solid returns the past 22 months compared to just eight months across the global hedge fund space. Gondor Partners, Ltd, closed 2016 up 26.85 per cent while the Gondor Partners, LP gained 26.53 per cent last year.
“Ultimately, the returns are generated by the holdings of the funds which is, in turn, is based on my experience and research,” says Au, who remains confident that the strategy and the selection of the investments in his funds will continue to perform.
“I am as confident as ever in the strategy I employ to manage the funds,” he says. “I recognise that while my returns are compared to the indexes, it is also compared against other hedge funds. However, I manage the fund on an absolute basis of risk, return and to the best interest of the limited partners. My goal when managing the fund is not focused on beating the indexes and other hedge funds, I am confident that as long I apply the principals of my strategy and remain focused as well as disciplined, the returns will be good.”
