2022 January USD

2022 January CAD

This is what we mean by Market-Neutral Dear Partners, The Caravel Capital Fund was up +1.15% for January. We reached these returns utilizing strategies we have highlighted in our past letters. Merger Arbitrage, Call Options we hold in the Canadian banks (more on that later), the oil company we continue to hold, which rose 25% […]

2021 December USD

2021 December CAD

What Governments Want, Governments Get Dear Partners, For the month of December, the Caravel CAD fund was up 1.20%, bringing the total net return for 2021 to 30.78%. We hope to establish some credibility before getting into our 2022 outlook by reflecting on our December 2020 letter. After outpacing the major indices on an absolute and risk-adjusted […]

2021 November USD

2021 November CAD

It Never Hurts to Listen to the Smart Guys We were going to take the opportunity in this letter to reflect on 2021 and forecast how we see things in 2022. But then I happened to come across a copy of the new book by Ray Dalio, titled Principles for Dealing with the Changing World Order: Why […]

2021 October CAD

Bulls, Bubbles, and Manias For information to be most useful, it must be available when it is most valuable. Historians regularly identify market bubbles and manias, but their insights provide market participants little value after the fact. This letter will try to explain how we identify bull markets, asset bubbles, and manias. We believe each […]

2021 October USD

2021 September USD

2021 September CAD

When you don’t know what you don’t know, blindly following is hazardous. We want to offer a seasonal explanation of this investing proverb: If you haven’t spent your summers (and shoulder weekends) at a cottage in Canada, then you don’t know that lake water gets frigid in October. Since it’s not uncommon to have warm, […]