Spiking yields on US Treasuries can mean thunderstorms for high yield, indebted corporations, real estate owners and capital expenditures. The 29 trillion US Government debt pile is nowhere near to be reduced and we consider this as a factor to consider in the overall appreciation of what is a safe heaven and what could be less than safe…

Digital assets could have their word, gold too.

Lack of serious alternatives in the Fixed Income asset class is an issue, as other previously perceived as solid, like Germany, France and Holland are currently in a troubled political situation where their credibility is being questioned.

The catastrophic mistakes of Schroeder, Merkel, Sarkozy, Hollande and Macron to abandon nuclear energy production has put in danger all EU industries that have to pay very expensive US gas now that their ex-buddy Vladimir has become a persona non-grata. His efforts in the late nineties until 2022 had achieved a formidable success in becoming the largest supplier of gas and oil for Euroland.

Unemployment and depression are just outside Europe’s door… and if the energy related mistakes were not enough, they were accompanied by the utopic peace and love strategies where military spending was considered almost unethical. The various, incompetent self-proclaimed think tank experts added their ESG sauce to increase excessive and unnecessary “ADMINISTRATIVISM” * adding to hundreds of pages of bullet points to fill in by corporations so that the Auditors can double or multiply their annual revenues by “having” to verify compliance with these new unnecessary complications… 

Trump’s team are laughing at Europe shooting its own foot, China is hilarious…

If Europe does not wake up and reverse course, the Babel Tower will be in real trouble sooner rather than later…

On a positive note, our Fund continues its journey throughout 2024 with +1.65% for November and +8.03% for the year. 19 of our 21 Managers contributed positively for the month. We are extremely proud of our Fund’s performance this year and continue to believe that our selection of Managers will continue their fruitful teamwork during 2025.

We thank you once again for your trust and wish you a Prosperous and Healthy 2025 !

* ADMINISTRATIVISM is a new word, invented by our CEO and CIO that defines the cancer of corporate economic activity. It consists of excessive administrative paperwork demanded or imposed by the legislators who have ample time to spend thinking to impose methods of conducting different business activities ranging from agriculture, medicine, healthcare, industrial production, financial services, banking, technology related business etc., in what they consider to be best practices. The problem is that they are totally incompetent to have the right to participate in this delicate process. Equally incompetent are the Audit firms advising them and of course the self-proclaimed “think tank” groups.

Why are they all incompetent ?

Because they ALL and Collectively failed to identify the most important factors of the good and safe conduct of socio-economic activity during the last twenty years or so.

These factors are:

1. The physical security of citizens given that dictatorships can go to war against the utopic minded and unarmed countries.
2. The most ecological, friendly and cheapest energy over the long run is the nuclear one…

Best Practices have always and will continue to exist as all business leaders, each in their area of competence, know that if they do not apply them, their days will be short lived…