Peter Rabover, portfolio manager at Artko Capital, is a new fund manager who has found alpha in niche markets. The hedge fund reported 33.2% performance on the year by primarily investing in issues that are generally not widely known.
2016 Hedge Fund Letters
But while the hedge fund’s early performance is notable, perhaps the firm’s niche approach to investing in areas where transparency is sometimes faint and facts obfuscated is where opportunity is found. Early hedge fund investing, particularly those with a niche strategy, can yield benefits to fund managers. Due to his small-cap focus, Artko finds niche opportunity in a market where institutional analyst coverage does not exist to the same degree. In other words, alpha can be found amid...

