MAXIN GLOBAL FUND - USD is a Long / Short Directional hedge Fund incorporated in Luxembourg. It started trading on February,22 2022 and replaces MAXIN ADVISORS' MODEL PORTFOLIO which has been trading since January 1st 2014. At MAXIN ADVISORS, we manage FULLY TRANSPARENTLY and publish the transactions on a DAILY basis and the details of the portfolio on a WEEKLY basis.
MAXIN GLOBAL FUND – USD
Transaction Update 5 Dec 2022
As expected, the corporate results of China’s EV makers were better than expected and led to massive rallies I. their stock prices. During the downdraft, we had been accumulating XPENG and NIO, making XPENG our largest position at the end of October 2022. Since its bottom, the stock rallied by 100 %, transforming a sharply loss making position into a 40 % profit making position and NIO rallied by 70 % in the last couple of weeks.
Today, we took more profits on the way up in XPENG, IQIYI and the US listed KWEB and YINN ETFs, taking our long exposure to China down to 40 % of the portfolio. The Chinese indexes are overbought and may be taking a breather in the year-end, something that will enable us to re-instate individual positions ahead of the strong rally we expect in 2023.
Conversely, Western equity markets are finding it difficult to make headways and today was a bad session for US equities, probably confirming that our expected top for the bear market rally has been made. What is extremely interesting is that this is happening at a time where bond yields have reached our 3.5 % target on the US 10 year and where volatility indexes are at levels that usually marked significant equity market tops in the past.
Today, we took advantage ei the weakness in Volatility gauges to increase our exposure by adding more VXX US and VIXL ETF, taking our log exposure to volatility to 9 % of our total portfolio.
Europe is levitating after its strong advances of the past few weeks and it is only a matter of time before we see the European indexes breaking down. Today, we added to our short positions in the EUROSTOXX 50, Italy’s FTSE MIB, Spains’ IBEX futures while re-instating our strategic short positions in luxury good markers LVMH and HERMES INTERNATIONAL in France.
We have also increased our short exposure to German Government bonds, where we see yields at 1.90 % unsustainable. the ECU will hold its monetary policy meeting on December 15th 2022 and we expect their posture ti be more hawkish than expected by the market.
Our portfolio is now long 41 % and Short 98.7 % in equities with the US accounting for 70 % and Europe 30 %
Our short portfolio is more diversified than in the past even if we continue to see the US technology sector as being the weakest point for global equities in 2023.
With our strong performances since the beginning of the year and the launch of MAXIN GLOBAL FUND, our portfolio has been de-risked considerably. We are now neutral in bonds and little exposed to commodities.
As a reminder, we shall be holding our next MARKET WEBINAR on December 15th 2022 and you may register on the link below if you wish to attend.
New Asset Allocation
DISCLAIMER Maxin Advisors FZ-LLC or www.maxinadvisors.com, is not a registered investment advisor, nor a capital management firm or broker-dealer and does not purport to tell or suggest which securities customers should buy or sell for themselves. Maxin Advisors FZ-LLC operates as a private advisory and research company where we provide consulting services to pension funds, investments funds and family offices. MAXIN ADVISORS FZ-LLC is one of the General Partners of MAXIN GLOBAL FUND - USD,a Luxembourg Incorporated Hedge Fund. Our analyses and conclusions are ours and they only clarify and highlight the investment rationale behind our own investment decisions. The analysts and employees or affiliates of Company may - and usually do - hold positions in the stocks or industries discussed here. The Company, the authors, the publisher, and all affiliates of Company assume no responsibility or liability for your trading and investment results. You understand and acknowledge that there is a very high degree of risk involved in trading securities. It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable or that they will not result in losses. Past results of any individual trader or trading system published by Company are not indicative of future returns by that trader or system, and are not indicative of future returns. The indicators, strategies, columns, articles and all other features of Company’s products are provided for informational and educational purposes only and should not be construed as investment advice. Examples presented on Company’s website are for educational purposes only. Such examples are not solicitations of any order to buy or sell securities, commodities, investment products or engage into any kind of trading activities. Accordingly, you should not rely solely on the Information provided in making any investment decision. Rather, you should use the Information provided only as a starting point for doing additional independent research in order to allow you to form your own opinion regarding investments. You should always check with your licensed financial advisor and tax advisor to determine the suitability of any investment. By navigating on our website or remaining on our subscription lists, you accept our terms and conditions and discharge us irrevocably from all responsibility.