Sat, Mar 25, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Commodity bull run set for another five years or more, Dighton Capital Management says

Monday, January 10, 2011
Opalesque Industry Update - The bull run in commodities is set to continue for at least another five years, offering long-only investors better growth potential than any other asset class, according to Dighton Capital Management, one of the world’s leading managed futures fund managers.

Bonds and property are all hitting headwinds while Dighton believes equities are set for a major correction toward the end of 2011 or early 2012 led by the developed markets.

Alex Moiseev, Principal and Chief Investment Officer, Dighton Capital Management said: “Long-only investors should just own commodities across the board. There is nothing else that is worthwhile out there. Equities in some emerging markets do offer potential but they represent unknown territory because of the political factors.”

Dighton believes that fears over the real value of money resulting from excessive quantitative easing and consistent devaluing of currencies by many countries will drive up prices of precious metals while growing demand from emerging market economies will raise prices of base metals, soft commodities and oil.

Alex Moiseev added: “There are major lifestyle changes in emerging markets that are putting massive upside pressure on commodities, even compared with just a few years ago, but we are not seeing much increase in production. This is particularly true of oil, which I expect will go to $200 a barrel or more in the next two or three years. The ongoing devaluation of the dollar will only support nominal prices of oil and other commodities.

“In such an environment, investors should be looking to asset managers who can trade long and short across all the asset classes, and especially those who can effectively exploit the bull run in commodities.”

While US equities enjoyed a rally last year that will likely continue in 2011, Dighton believes much of the earnings uplifts have been driven by inflationary pressures rather than real economic growth and that quantitative easing is merely postponing the emergence of real structural economic problems. The failure of the S&P 500 to consistently breach the 1500 barrier will then lead to an eventual sell-off in US equities in the medium term that will hit stockmarkets around the world. Emerging markets will be quicker to recover than their developed counterparts.

Dighton Capital Management has been operating since 2003. It has a consistently attractive record of delivering high absolute returns, high liquidity and transparency, as well as low correlation with equities and bonds.

(press release)

About Dighton Capital Management

Dighton Capital Management is an established alternative investment manager providing superior, non-correlated alternative investment products to institutional and private investors. The company was established in 2003 and currently manages three funds. AUM are in excess of US$230 million. It has offices in the United States, Switzerland and the Cayman Islands.

Dighton offers two investment programmes at present based on Managed Futures. The first is offered through the Dighton Balanced and Dighton Aggressive Segregated Portfolio (ASP). The second program is the Dighton Dynamic Allocation MSP. Dighton’s products are domiciled in the Cayman Islands.

The Dighton Aggressive Segregated Portfolio (ASP) is a discretionary CTA which follows a Global Macro strategy. Trading is done solely on liquid and highly regulated US Futures Markets. The strategy is developed by Mr. A. Moisseev who has been a Futures trader since 1992. The investment ideas are generated by combining fundamental macro and technical analysis, such as pattern recognition, volatility analysis, wave analysis (Elliot Wave), volume and Time cycles. The Fund manager trades on high conviction and his tight selection standards reject 9 out of 10 trading ideas. The fund aims to achieve +50% annualized performance.

The Dighton Balanced Portfolio (Dighton Balanced) is a discretionary CTA which follows a Global Macro strategy. Trading is done solely on liquid and highly regulated US Futures Markets. The investment ideas are generated by combining fundamental macro and technical analysis, such as pattern recognition, volatility analysis, wave analysis (Elliot Wave), volume and Time cycles. The fund aims to achieve +20% annualized performance with a volatility of 15%. For further information on Dighton Capital Management’s three investment funds visit www.dwwi.ch.

- FG

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Hedge fund liquidations in 2016 surpass 2009 levels, new launches decline[more]

    Benedicte Gravrand, Opalesque Geneva: Even as the hedge fund industry's total assets exceeded the $3tln milestone last year, hedge fund liquidations increased. So much so that 2016 had the highest number of liquidations since 2008, claims the latest HFR Market Microstructure Report, re

  2. Hedge funds find no joy in macro as returns lag Trump rally[more]

    From Gulfnews.com: In 2017, macro hedge funds were expected to shine. So far? Not so much. It's been a far from impressive first two months for funds that trade around macroeconomic events. Discretionary funds rose just 0.3 per cent through February, according to Hedge Fund Research Inc., while the

  3. Strategies - Billionaire investor Marc Lasry shares how he's playing markets right now, Classic models are failing FX hedge funds desperate for return[more]

    Billionaire investor Marc Lasry shares how he's playing markets right now From CNBC.com: Buy on the prospect of deregulation. Sell on the enactment of deregulation. That's the strategy that billionaire investor Marc Lasry is implementing, according to an interview with CNBC in Las Vegas

  4. Opalesque Exclusive: Aberdeen makes the case for the lower mid-market[more]

    Bailey McCann, Opalesque New York: Aberdeen Asset Management has released a new paper focused on lower mid-market private equity. According to the paper, this segment of the private equity market is gaining popularity with private equity investors that are looking for multiple expansion and less

  5. Hedge funds await outcome of French elections, feel pinch on lower oil prices & weak dollar[more]

    Komfie Manalo, Opalesque Asia: Hedge funds felt the pinch of lower oil prices and weak U.S. dollar as the Lyxor Hedge Fund Index was marginally down as of the week ending 14 March, Lyxor Asset Management said in its Weekly Briefing. The Lyxor He