Coquest 40 Index November 2020 Update

The Coquest 40 Index finished November up 0.88%, bringing YTD performance to -2.69%. Global equity markets posted strong gains during the month, as positive COVID-19 vaccine news pushed the S&P 500 to fresh all-time highs. Trend following constituents make up the bulk of the index and finished up 1.84% on a weighted average basis. Positive performance was primarily driven by long equity index positions, particularly U.S. and Asia indices, and short USD positions as investors moved away from safe haven assets. Long industrial metals were also profitable off the back of renewed demand from China’s manufacturing sector. Systematic non-trend managers included in the index, which largely consists of systematic global macro strategies, finished up 1.23% on a weighted average basis. The majority of gains were from long equity index positions and long commodity currencies vs. the USD. The foreign exchange and short-term managers included in the index make up the remaining assets in the Coquest 40 and ended the month of November down 5.49% and up 0.12% respectively. FX strategies suffered losses from long USD positions vs. commodity currencies, while short term manager performance, albeit mixed, were able to secure minimal gains from U.S. equity indices.