Fehu Capital, LP
Monthly Fund Performance Update for October
Dear investors,
As October ended, I am eager to share the fund performance update and the significant progress Fehu Capital has made throughout the month. Our dedication to optimizing the fund’s performance remains as staunch as ever, and I believe the recent developments, as outlined below, reflect this commitment.
TradeStation Account Approval:
We have achieved a significant milestone by receiving approval for our fund’s TradeStation account. This development allows our fund to be fully diversified in equities. We wired $99,895 from our Customer Bank to TradeStation and began writing options yesterday. We anticipate a promising income stream.
Fund Administration Progress:
I understand that setting up our fund administration has taken longer than expected. However, I wish to reassure you that we are in the final stages. Creating the entitlement is pivotal, and rest assured, we always deliver. We anticipate finalizing this in the coming days.
October Fund Performance:
We proudly report that October was a fruitful month for Fehu Capital. We realized a gain of $2,481.38, taking our NAV to a healthy $538,245.09. Given that it’s been only six months since our inception, our net annualized PnL at 5.4272% is commendable, especially considering our initial challenges and prudent risk parameters.
Algo Strategy Performance:
The strategy realized a gain of $1,583.17. It’s worth noting that our Market Making Algo was dormant for eight days towards month-end. It’s designed to act prudently – trading when necessary, not arbitrarily. Our portfolio is essentially in cash positions with $89,089.19 USD and $226,849.80 USDT.
Crypto Options Strategy:
I am pleased to report that our Crypto Options Strategy is performing in line with our expectations. In October, it generated a profit of $703.80. Considering that about $53,000 is deployed in this area, it has delivered a monthly return of about 1.3%. Currently, our options trading is executed manually. However, we have plans to automate this process in 2024, which we anticipate will streamline operations and enhance profitability.
Looking Ahead – November and Beyond:
The upcoming November statement will reflect our newly diversified equity holdings. We have scrutinized several equities and initiated our options strategy. As we continue to fortify our positions, we plan to introduce gold into our portfolio for added resilience.
Furthermore, the NAV fund administration should be operational this month. We’re also excited about the development of three additional algo strategies in the pipeline for the next six months.
Growth Steps:
We must attract further capital inflow for our continued success and to increase profitability. Scaling our strategies is imperative, and once we’ve solidified our foundational components, this growth will be our primary focus. In closing, I want to reiterate that our journey is a marathon, not a sprint. Patience, diligence, and strategic planning are the pillars upon which we intend to build our future successes. As always, your trust and partnership are invaluable to us. If you have any questions, feel free to contact me directly.
Warm regards,
Eugene Migiroff
Fund Manager, Fehu Capital, LP.
Eugene Migirov
Fehu Capital | Managing Director
For more information, you can contact us here.