In the past few weeks, the unintended consequences of the fastest rate hike cycle in history, started to manifest. Regional Banks in the US, particularly those more aligned with private equity/venture, saw a traditional bank run in response to concerns of mismatches between their assets and liabilities. Closely on the heels of these US problems, Credit Suisse, which has been ailing for years, finally succumbed, and over the weekend a deal with UBS was announced.
Neither Somerston Technology Fund nor Somerston Multi Asset fund have direct or indirect exposure to the troubled institutions. We do have custody arrangements with UBS and with the full weight of the Swiss National Bank behind the recently announced deal, UBS appear on solid ground.
As of close of business on Friday 17th March, Somerston Multi Asset Fund is +1.1% month to date and Somerston Technology Fund is +6.1% month to date.
