CADIZ BCI MONEY MARKET FUND
The Cadiz Money Market Fund continues to deliver on its mandate by consistently providing returns that outperform cash reserves with minimal volatility. The fund remains strategically positioned to capitalise on elevated yields, reinvesting proceeds from maturing investments and utilising positive cash flow at favourable rates. Managed within its prescribed mandate constraints, the fund aims to surpass its benchmark, ensuring significant liquidity and a low variance in returns. The persistence of the current high interest rate environment enables the fund to take advantage of lucrative investment opportunities with minimal downside risk.
CADIZ BCI ENHANCED INCOME FUND
Most of the positive returns generated by the fund came from its exposure to floating rate notes and money market instruments. Although nominal bonds and inflation-linked bonds delivered negative returns for the month, the fund had a positive month, upholding the long-standing track-record of delivering low volatility returns and focusing on growing wealth while limiting downside risks. Trading activities implemented during the month were driven by cash flows and reinvestment strategies, aligning with the fund’s objective of prudent portfolio management.
CADIZ BCI ABSOLUTE YIELD FUND
The fund benefitted from its diversified exposure to corporate credit and floating rate notes as nominal bonds and inflation-linked bonds lost ground due to yields drifting higher over the period. The small USD position also helped the fund end the month in positive territory. Trading activities during the month included the deployment of cash, re-investment of maturing instruments and active duration management to match the investment strategy and investment view. The fund remains actively managed by the team to take opportunities as they present themselves and to manage prevailing risks.
