• Home
  • Value for Investors
  • Approach to Managers
  • Investments
    • Greenhaven Road Capital
    • Johkim Capital
    • Monterone Partners
    • Zama Capital
  • News
  • Team
  • Principals & Special Advisors
  • Contact

Johkim Risk-On Notice

March 23, 2020 In Johkim Capital’s March letter, portfolio manager Jatin Kakkar informed investors that the firm will be transitioning to its “Risk-On” strategy from “Preservation-Plus. ” This move came from Johkim's recognition that overall market conditions had shifted, citing the Coronavirus as the chief catalyst. Recognizing indicators such as high spreads (1,000bps), funds facing redemptions, and management teams cutting dividends to focus on balance sheets, JCP quickly pivoted to a more aggressive portfolio composition in pursuit of alpha generation.
Market metrics cited by Mr. Kakkar include overall high yield spreads wider than 649bps, pain felt across sectors such as energy (over half the distress debt supply), travel, and retail, 712 new distressed issuers (from 105 in 2019), and standstill high yield issuance in March.
© Copyright 2023 Stride Capital Group LP. All rights reserved.
The material included on this website is for informational purposes only and is not an offer to buy or sell, nor a solicitation of an offer to buy or sell, any security or any other investment product. All information on this website, including with respect to investment objectives and themes, is subject to change without notice or notification of such changes made. The material on this website is not investment, legal, tax, or accounting advice. This website includes forward-looking statements and statements of opinion. No representations are made that any of such statements will prove to be accurate, and there is a substantial likelihood that some or all of the forward-looking statements will prove highly inaccurate. No endorsement or recommendation is made as to any other entity or issuer, or any security issued thereby, that is referenced in this website, and any information regarding any such entity, issuer, or security should be obtained from such entity or issuer directly. References on this website to "Stride" or "Stride Capital" are references to Stride Capital Group LP.

We use cookies to enable essential functionality on our website, and analyze website traffic. By clicking Accept you consent to our use of cookies. Read about how we use cookies.

Your Cookie Settings

We use cookies to enable essential functionality on our website, and analyze website traffic. Read about how we use cookies.

Cookie Categories
Essential

These cookies are strictly necessary to provide you with services available through our websites. You cannot refuse these cookies without impacting how our websites function. You can block or delete them by changing your browser settings, as described under the heading "Managing cookies" in the Privacy and Cookies Policy.

Analytics

These cookies collect information that is used in aggregate form to help us understand how our websites are being used or how effective our marketing campaigns are.