While others are distracted by political noise or the latest geopolitical narratives, our investment process stays focused on a simpler question: what works and what does not. Sustainable long-term performance is rarely comfortable. It requires sacrifice, discipline, and a repeatable process not consensus or reassurance.
Patience is the real edge. I know, I know. Volatile periods tend to test our patience. Drawdowns are part of the journey especially in difficult markets. That is why portfolios must be viewed in totality, not judged by a single trade in isolation. One tree does not define the forest unless you are lost.
Confidence comes from doing the work and trusting a system that has been tested across cycles. Humility comes from respecting how hard this game really is and from learning quickly when we are wrong. Markets are excellent teachers sometimes expensive ones.
Over the past two weeks, I have had the opportunity to walk a number of partners and investors through our range of TM models in more detail. I did not complicate it. The drivers of performance this year have been quite clear. Our exposure to precious metals and emerging markets has made a meaningful (and welcome) contribution.
So yes we have been riding reasonably nicely so far this year. Within the TM portfolio, our multi-strategy model (up +29.2%) has quietly taken the spotlight delivering strong gains and already reaching double-digit territory. That said, the year is still young and markets have a habit of reminding us not to get too comfortable.
On another note, some local investors are still heavily concentrated at home especially in local equities. That worked for a long time. We do not have a home-country bias.
This is not about exclusivity or ego. I will also continue to focus on working with the right people, those who value the process behind the outcomes, not just the outcomes during the good periods.