Tantallon hedges with cash, gains 12%


Positive contributions from the long book and using cash rather than futures to manage net exposures both helped the Tantallon BRIC Fund to gain 12.24% in March, taking year-to-date performance into positive territory at 8.03%. Using cash raised turnover in the last few months, but this hedging strategy protected the fund's shorts from being squeezed by the recent rally, explains Tantallon's Tariq Ahmad.

Most of the fund's net exposure continues to be in China but in March the fund also benefited from aggressive positioning on Russia, thanks to softer oil prices, a weak rouble and risk aversion which