Armajaro Mixes Arbitrage, Directional Strategies In Coffee, Cocoa Markets

Armajaro CC+ Fund, which runs both a directional and arbitrage strategy primarily in soft commodities such as coffee and cocoa, was having a strong year. Unfortunately, the Armajaro Commodities Fund, more directional in nature, had the most difficult year of its existence in 2014.

The CC+ fund’s Class A shares were up 12.15 percent on the year, as of a September, 2014 investor letter reviewed by ValueWalk, while the core commodities funds were down by a near equal amount.  The Commodity Fund Class A shares, denominated in U.S. dollars, delivered -13.81 percent loss on investors capital while the Class E shares, denominated in the Australian dollar, was down -12.47 percent on the year. During the month of December most share classes in...