Dear Partners, For the Month of October, the Caravel Capital Fund Ltd generated a -1.45% return. The negative performance in October was primarily attributable to the portfolio’s Merger Arbitrage allocation. This strategy has been a core contributor to Caravel’s low volatility returns since inception. What we encountered in October is not typical for merger arbitrage. […]
Dear Partners, For the month of September, the fund was up marginally at 0.04%. We continued to rotate the Fund’s capital away from strategies that carried excessively high securities lending costs. As we have mentioned in the past, these charges have reached as high as $1 million dollars a month. We have realized this is […]