Hold onto your hats

March 2025

Hold onto your hats. The full force of “Liberation Day” is now being felt in global markets, and the sell-off has been nasty. We note that even traditional safe haven gold sold off at the end of last week – a sign of acute stress with investors selling what they can, not what they want to.

At quarter end, the Fund was up 2% YTD against global markets down 5%. In the dislocation that followed and the stress mentioned above, Kennox was not immune, and the Fund is down 7% YTD (as of April 7th). Even though the market is down 13%, and US markets and growth stocks even weaker still, this is painful.

Markets will stay nervous as they work their way through the tariff fog. We know that Kennox remains as well placed as can be, focused on quality companies trading at prices that already have low expectations baked in, paying substantial dividends (especially prized in difficult markets), and exhibiting low levels of leverage. This is how to weather storms, and to thrive in the longer term.

You can read more on our thinking and the positioning of the Fund in our quarterly report here.

The latest fund factsheet can be found here.