In the third quarter, global equities demonstrated robust performance, reaching unprecedented highs. This surge was primarily fueled by strong economic growth and ongoing interest rate reductions from central banks, fostering an optimistic market environment. While the John Hancock Seaport Long/Short Fund delivered positive returns during this period, its gains did not match those of its benchmark, the MSCI World Index.
A notable factor contributing to the fund's relative underperformance was its short positions, which incurred losses as the market advanced. The fund employs a diversified approach, integrating five distinct investment strategies overseen by Wellington Management. Impressively, four of these five sub-strategies successfully generated positive absolute returns, highlighting the strength of the underlying management. Despite not fully keeping pace with the benchmark, the fund maintained its position as a compelling option for investors seeking exposure to global equities with reduced risk.
This fund consistently endeavors to provide a more stable investment alternative in the dynamic global equity market. By combining diverse strategies and focusing on risk mitigation, it aims to deliver long-term value to its investors, even amidst varying market conditions. The commitment to a multi-manager approach, backed by rigorous oversight, underscores its dedication to prudent financial stewardship.