Although the Japanese market lagged behind other developed markets in August some sectors performed relatively well in particular those with domestic exposure, thanks in part to the landslide victory for the DPJ.
Small caps outperformed on a relative basis.
It was a mixed month for the long/short funds. Bonsai Microcap did well, a 3.21% August taking three-month figures to 14.89%, while Sector Zens 5.57% monthly gain left three-month numbers at 12.9%.
Pelargos Japan Alpha Fund saw a 2.24% August rise which put three month returns at 1.40%. During the month the managers initiated a long position in Tokyo