Ayaltis Investor Reports - January 2019 Performance Estimate & Lunch Presentation


We are pleased to send you the estimated NAVs & performance numbers for Areca Value Discovery with a performance of 0.26% for Class B USD.

Save the Date

Ayaltis will host a series of lunch presentations in several cities starting March 2019 with the following topic:
Insights from the Relative Value Opportunities in Shifting and Volatile Markets

7 March 2019: Zurich
8 March 2019: Geneva
21 March 2019: Lugano

A separate invitation with a detailed agenda will follow shortly.

January Flash Commentary

Our flagship fund delivered +0.26% in January. All our portfolios delivered positive returns, with the only exception of Convexity, which is designed to exploit volatility spikes when markets get stressed. Clearly not the case last month as the market bounced back to recover from its dramatic drop.


January saw the equity markets post their best month in more than eight years completing a violent V-shaped recovery which brought markets back essentially shy of their pre-drop level. During this stomach-churning episode, our portfolio successfully passed a real-life stress test essentially avoiding this V-shaped pattern. Short-term interest rates went from pricing more than two increases in 2019 to nil, reflecting the doubts market participants have on the capacity of the FED continuing its stance reversal without generating difficult market conditions. The dramatic December-January abyss visited by markets, which all our portfolios successfully avoided, reinforces our commitment to keep a strong market neutrality.


It is hard not to be concerned by the contradiction between a rebounding equity market and a sharp decline in earnings growth. Our portfolio is structured to be market resilient while capturing multiple sources of alpha. All our underlying strategies did rather well in January with the only exception of Structured Credit. The defensive short position on corporate debt embedded in that strategy detracted significantly from our monthly performance, as expected. Exactly the opposite behaviour of the previous month when it provided massive protection delivering the two-month defensiveness of a traditional outright hedge.    


Estimated NAVs and Performance
as of January 31, 2019
January YTD 2019 NAV 2018 12 Months Rolling Return 12 Months Rolling Volatility Liquidity PDF
Areca Value Discovery B USD 0.26% 0.26% 125.45 -0.32% -1.05% 3.82% Quarterly Link
Areca Value Discovery B CHF -0.03% -0.03% 114.61 -3.53% -4.24% 3.85% Quarterly
Areca Value Discovery B EUR 0.01% -0.01% 116.87 -3.09% -3.91% 3.93% Quarterly
Areca Azure C USD 0.96% 0.96% 106.82 1.16% 1.37% 3.48% Monthly Link
Narrapuno SPC - Spectrum A USD 0.22% 0.22% 1,518.73 -0.11% -1.13% 4.45% Quarterly Link
Narrapuno SPC - Spectrum A CHF -0.07% -0.07% 1,336.65 -3.47% -4.46% 4.42% Quarterly
Areca Convexity B USD -1.76% -1.76% 102.02 3.85%* - - Monthly Link

*Note: Areca Convexity was launched in August 2018. This month’s cut-off date for subscriptions is 21 February 2019 at 3pm.

We are also pleased to send you the final NAV & Performance for Alaya Diversified (UCITS) with a performance of +0.50% for Class B USD.
Following the successful launch of our UCITS fund, we would like to share a white paper outlining the key characteristics of the Alternative UCITS universe here.


Final NAV and Performance
as of January 31, 2019
January YTD 2019 NAV 2018 12 Months Rolling Return 12 Months Rolling Volatility Liquidity PDF
LSF Alaya Diversified (UCITS) B USD 0.50% 0.89% 100.89 0.39%* - - Bi-weekly Link
LSF Alaya Diversified (UCITS) B CHF 0.05%* 0.05% 100.05 - - - Bi-weekly Link
LSF Alaya Diversified (UCITS) B EUR 0.03%* 0.03% 100.03 - - - Bi-weekly Link

*Note: Class B in USD was launched on 17 December 2018 whereas Class B in CHF and EUR were launched on 15 January 2019. This month’s cut-off date for subscriptions is 12 February 2019 at 3pm.

As always, we reiterate our gratitude for your continued trust, support and patience.
Best regards,

Son Nguyen
CEO & Managing Partner

Ayaltis AG
Bleicherweg 19
8002 Zürich


+41 43 501 37 62
Mobile: +41 78 610 65 00