Continued strong trends in significant global bond markets produced healthy profits for the Superfund funds in June, driving the Superfund GCT USD to a new record high at month end. Since its launch in January 2000, this fund has yielded a total net return of +403.1 %, corresponding to an average annual return of +24.1 %. The Founder and Owner of Superfund, Christian Baha, was particularly pleased about the performance of the latest Superfund investment products: “Our new Superfund B SICAV EUR, which follows the same Superfund ‘Strategy B’ as the 71/2-year old Superfund GCT USD, actually came out slightly ahead with a net gain of +40.1% after all fees - in only ten months!”
Strong profits from UK gilts
The international bond markets displayed weakness at the start of the month, amid investor suspicion that central banks would continue to act decisively against the threat of inflation. The Superfund technical trading systems were able to achieve positive gains on long gilt futures in June. The British bond benchmark continued its downward trend, driven largely by flat production figures and rising manufacturing prices. The Bank of England left the reference rate unchanged at 5.5 % but noted that the fight against inflation will likely require future rate increases. U.S. treasury bonds were also sold off, as strong economic figures pointed to rising inflation. Ten-year interest rates rose to a five-year high, and European bonds fell to their lowest levels since August 2002.
Uneven results from sugar
Our trading system yielded mixed results from trading in sugar futures, as the highly volatile market ended slightly up. At the start of the month, sugar fell to a two-year low following analyst reports forecasting a worldwide surplus of 10 million tons. Mid-month saw support in the market due to rising energy prices and export restrictions in India.