August 2023 – Teks Alpha Preliminary NAV Systema Fund

Market Overview

August was another eventful month for the financial markets.

Throughout August the SPY posted a -1.7% and the YTD is +17.8%. On the other hand, the Nasdaq Composite performed -2.2% (YTD of 33.9%).

The ever-evolving dynamics of inflation and interest rates continued to be pivotal in shaping market movements. With the Federal Reserve's policy reviews on the horizon, we anticipate a substantial impact on macroeconomic indicators. Their upcoming meeting on September 19th and 20th promises to be a significant event for market participants.

We are still inclined to believe that several indicators point to a deceleration and some items are concerning.

September's historical data suggests a tendency for volatility, with notable events such as the September 2001 tragedy and the Lehman Brothers downfall in 2007. Recent history (past three years) has also shown a bearish pattern for equities during this month.

Notably, during August NVDA reported strong earnings underlining its growth potential in the technology sector. Chairman Powell gave his speech at Jackson Hole, Wyo, and did not surprise the market. He in summary expressed that the Fed will continue to be data dependent as it waits for inflation to go to 2%.


During August the Fund’s preliminary net return was +1.1%, bringing our YTD net performance to +13.1%.

We are very comfortable with the performance of our model, which has once again demonstrated its resilience to substantial market fluctuations while maintaining a robust risk management.

We are confident that investments and resources added will further improve our already solid track record and will deliver outstanding returns.

Teks Alpha Performance (%)

2021 1.36 0.79 0.77 0.80 1.51 1.61 1.15 2.56 1.70 12.9
2022 -0.65 1.22 1.22 -0.10 -1.85 -5.7 2.35 -1.61 -0.5 0.33 —3.1 —0.7 -9.0
2023 3.5 0.45 1.45 2.20 5.20 -1.50 0.2 1.10 13.1
Performance is net of fees. Trading started on March 12, 2021. NAV is calculated quarterly by the Administrator. The next official NAV will be based in December 2022

Teks Alpha Performance vs Benchmarks since inception (March 2021)

Effective 16.08% 19.96% 7.68%
Annualized 6.73% 8.35% 3.22%
STD Dev 7.01% 17.75% 5.95%
Shape Ratio 0.57 0.32 0.08
Benchmarks: The HFRI Institutional Equity Hedge Index is a global, equal-weighted index of hedge funds with minimum assets under management of USD $500MM which report to the HFR Database and are open to new investments. The Equity Hedge funds that comprise the index are a subset of the HFRI Institutional Fund Weighted Composite Index. The index is rebalanced on an annual basis.

Releated Articles

Legal Disclaimer

The information, analysis, and opinions expressed herein are for general information only and are not intended to provide specific advice or recommendations for any individual or entity. This material is not an offer, solicitation or recommendation to purchase any cryptocurrency, security or to invest in Teks Capital or in Systema Fund PCC. Forecasting represents predictions of market prices and/or volume patterns utilizing varying analytical data. It is not representative of a projection of any market, or of any specific investment. Please remember that all investments carry some level of risk, including the potential loss of principal invested all principal. They do not typically grow at an even rate of return and may experience negative growth. As with any type of portfolio, attempting to reduce risk and increase return could, at certain times, unintentionally reduce returns. Please remember that past performance may not be indicative of future results.