Strategic Analysischart - January 2023 by Kettera Strategies

In the financial world, January 2023 saw a mix of winners and losers across various asset classes. Here's a breakdown of the key trends and performances based on recent data.

Fundamentals-based metals programs that held long positions in base metals such as copper and iron ore were rewarded during the month. This positive trend was observed in the Barclay Hedge Crypto Traders Index, one of the indices mentioned.

Conversely, in the natural gas market, traders who correctly identified ample supplies and storage were short-biased in spreads and reaped significant rewards.

The trend models in currencies appeared to be slightly positive, with long G10 and EM exposures versus a falling USD trend that began in December. However, the performance of long-term trend programs was largely dependent on exposure to fixed income and short-term rates. Most profitable programs in currencies were long both G10 and EM currencies versus the USD.

Equities, on the other hand, were generally negative in January.

The US Dollar Index (DXY) fell 1.4% in January, continuing a downward trend that began in December. The trend toward higher yields reversed mid-month, and most programs were caught short in Europe and the US. Shorter-term models caught this reversal, providing a silver lining for some investors.

In agricultural commodities, long-biased soybeans and soymeal on drought and subsequent supply fears in Argentina and southern Brazil were successful trades.

The performance of the long Mexican peso MXN was a consistently profitable trade in emerging markets.

The benchmark sources for this analysis include a blend of Hedge Fund Intelligence Global Macro Index and Eurekahedge Macro Hedge Fund Index, The Hedge Fund Intelligence Global Macro Beta Index, and Societe Generale Trend Index, among others.

It's important to note that the style baskets mentioned in this letter are research tools created by Kettera Strategies for tracking categories and are classifications drawn by Kettera Strategies in their review of programs on the Hydra Platform. These baskets are not investible products or index products being offered to investors, but are meant purely for analysis and comparison purposes.

The Eurekahedge Event-Driven Hedge Fund Index, Eurekahedge AI Hedge Fund Index, Eurekahedge Relative Value Volatility Hedge Fund Index, Eurekahedge Long Volatility Index, Barclay Agricultural Traders Index, Barclay Fixed Income Arbitrage Index, and the blend of Eurekahedge Asset Weighted Multi Strategy Asset Weighted Index and Barclay Hedge Fund Multi Strategy Index are some of the other indices mentioned in the analysis.

The Societe Generale Short-term Traders Index was also referenced in the report.

For more specific details about Kettera Strategies' January 2023 program performance, investors are advised to consult their official website, investor reports, or financial disclosures directly, as these types of specialized performance metrics are typically published by the managing firm itself.

In conclusion, the financial markets in January 2023 presented a complex landscape, with various asset classes showing different trends. It's crucial for investors to stay informed and make informed decisions based on reliable data and analysis.