To Partners,
2018 started off with continued optimism yet ended with a whimper. As finally, we began to see cracks form within the market's vast run. This was well overdue.
A more hawkish Federal Reserve, Geopolitical concerns, and "peaky" FANG stocks lead the market to a sudden and sharp correction. Our 2017 Q4 letter(see attached) timing was excellent with our professional boxing reference about a solid upper-cut and our view the market is due to fall. Which ultimately was hit hard in February and has yet to fully recover.
That said, Livermore Partners, and given our focus on special situation stocks (and weighted heavily to commodities and financials) allowed us to capture strong gains of 7.4% percent for Q1. We continue to see value in the likes of small energy producer, Jadestone Energy, British luxury-brand Burberry, and many other global names. Our latest presentation will be released soon and it will provide further details on new opportunities and where we've captured gains these past years.
