Greenhaven Road Capital Q4 Investor Letter

Greenhaven Road Capital recently released its Q4 investor letter (a copy of which can be downloaded below). The hedge fund gained approximately 7% on a net basis in the fourth quarter, bringing 2017 cumulative returns net of fees and expenses to approximately 48%. In the letter, the fund said:

In 2017, the S&P 500 was up 12 months in a row, but our partnership was not. We are trying to buy companies where we look at the long-term risk/reward equation and say “this is so favorable that it just makes no (insert expletive) sense.” However, just buying into favorable risk/reward situations does not mean that as soon as we start buying the shares, the price will begin to reflect the opportunity. Sometimes investments get more “favorable” before they become profitable. Sometimes the risk emerges and not the reward. Sometimes I am just wrong. With outperformance comes periods of underperformance.

Top 5 positions were: Fiat Chrysler, EnviroStar, ETSY, TripAdvisor, Interactive Brokers

You can download a copy here.