7.04.2021 Alpine Select Ltd.: Monthly Update March 2021
Alpine Select has published the monthly update March 2021.
Klick here to download the monthly report.
Alpine Select hat den Monatsbericht March 2021 publiziert (nur in Englisch).
Klicken Sie hier um den Bericht einzusehen.
The last month of the first quarter brought inflationary fears to the ongoing reflationary market. We witnessed a rapid increase of the 10y Treasury yield from 1.45% to 1.75% within the month. That speed caused some significant day to day volatility, especially in the tech sector, where significant intraday headwinds were experienced.
Value continues to outperform Growth with Dow Jones gaining +6.6% in March. S&P 500 Index was up +4.2%; Nasdaq +1.4% and Nikkei+0.7%. The Chinese Index CSI (-5%) was lagging month to month.
Our 2nd largest position, IP Group PLC, had another solid month at +6.9% (YTD: +26%). IP Group achieved an exceptionally strong result with record cash realizations (+140%) and a net portfolio performance (+22%) for the year ended 31 December 2020. After another solid year of cash realization, it became apparent that IP Group is transforming from a cash-raising to a cash-giving company.
Later in March, Oxford Nanopore Technologies («ONT»), the IP Group’slargest portfolio company, announced it was preparing to go public in London in the second half of 2021. To be honest, ONT could be the main catalyst for IP Group this year – however, we expect further positive NAV events in other portfolio companies (i.e. Hinge Health, Wave Optics and Inivata) which have matured and underpin the robust portfolio of IP Group holdings along the companies early life cycles.
Another noteworthy news is that our Crypto Asset managers had another positive month contributing around +15% profit.
At the beginning of the month, we reopened a position in Vifor Pharma after they posted better than expected full year 2020 results. As reflationary tendencies are in full swing, we expect that Vifor Pharma will benefit significantly from the current environment
About Alpine Select
Alpine Select Ltd is an investment company domiciled in Zug and has been listed on the SIX Swiss Exchange since 1998. The company offers shareholders the key benefit of investing into a global diversified and CHF hedged alternative investment portfolio. The portfolio exposure is actively being risk adjusted to current market sentiment and outlook. The investment style is value oriented and the investments are selected based on the company’s target return of 6-8% p.a. above CHF risk free rate. Alpine Select maintains an active and constructive dialogue with management and board of directors of its portfolio companies in the best interest of its shareholders. Alpine Select does not charge any management or performance fees.