We updated our readers on York Capital Total Return Fund’s August performance (+2.2 percent) previously). In September the fund was up 1.6 percent. This takes the year to date returns to 8.74 percent, while the overall Q3 performance has been +4.4 percent. The Total Return manages $1.4 billion in assets, which is down from $1.5 billion in the last month. York Capital’s total AUM is $14.3 billion, which is also a reduction from $14.5 billion*, as was reported in the month of August.
Since August, Total return has added 13 more longs, and 4 new short positions, the fund’s net exposure is now 108 percent long and 47 percent short. The major chunk of these shorts are concentrated in European equities.
The Fund’s top five positions are still the same as last month, except for an increase in its exposure in Kaupthing Bank , now 3.3 percent from 3.1 percent, Energy FutureHoldings (formerly called TXU) also has the same level of exposure. Total Return’s top holding is in Lehman Brothers, which now makes up 7 percent of the portfolio, is up from 6.4 percent in the last month. In the short portfolio, exposure in financial equities was increased to 1.2 percent from 0.6 percent in August.
By asset type, the fund is long on bank debt, asset backed securities and private equities. These areas have no short positions. The highest short exposure is in public equities, credit derivatives, and options/futures.
York’s investment breakup on a regional basis has also been the same since the last report. The investment in the US is based on Long: 40.5 percent and Short: -8.4 percent, whereas in Europe, the fund has a major short exposure (-27 percent). In terms of market sectors, no entity makes up a large single position, except financials, which is Long: 50 percent and Short: -14 percent.
Over the year, Total Return was down in three months, April, May, and June. The highest gain was seen in January with a 4 percent increase in returns.
* the original article states that firm AUM was $15.31 billion in August. The current number is actually $14.5 billion, the article has been amended to the correct number.