Diapason Commodities Management
Diapason’s Commodity Hedge Fund Wilts
The following piece on Diapason Commodities Management is being published as part of our Hedge Fund Tracker Tool, our daily effort to track hedge funds in the industry.
Diapason Commodities Management, the $7 billion Lausanne, Switzerland-based commodity-focused alternatives shop is currently feeling the pinch of the downtrodden market. The firm’s 10-month old Long/Short Agriculture Commodity Fund dropped another 7.42% last month, bringing its year-to-date losses to 3.48%. According to the firm’s investor letter, the agriculture sector was under assault in September by hordes of sellers forced to liquidate their positions following the failures of well-known institutions, but also because of a more favorable outlook for the 2008 crops.
“Bigger than anticipated harvests in Europe and the Black Sea region boosted the amount of cheaper grains available for exports, creating demand destruction for the U.S. grains,” the firm said. Read more...