Redefine portfolios with alternative investments

We're talking about tariffs. We're talking about market uncertainty. We're talking about GEMN, our global equity market neutral strategy. And I'm speaking with the lead portfolio for that strategy, Rich Mathieson. Tell us what's going on in the fund.

Thanks for having me, Jeff. Well, so far it's been a tough start to the year. It’s somewhat unsurprising speaking to investors coming into the year, you know, you had two consecutive years of 20% plus gains in S&P 500, and that had led many investors I spoke to to reassess the capital market assumptions around the types of returns they could expect from traditional assets going forward.

And unfortunately, you know, that reassessment was playing out a little bit sooner than many had expected. While that's been happening, investors have also been reassessing the role that traditional assets would play as ballast and diversifiers in their portfolio, and I think there has been a realization over the last 2 or 3 years that the types of negative correlations between, for example, bonds and equities, that investors have relied on in the past may not always be available going forward. And as a result, there was a real need to add new alternative sources of diversification to reintroduce that ballast to portfolios.

I'm pleased to say in a very challenging market backdrop, Global Equity Market Neutral has been doing just that year-to-date. Amazing. Thanks for being with us, Rich.

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