Alphyn Capital Management, an investment management firm, published its first quarter 2021 investor letter – a copy of which can be downloaded here. A return of 6.8% was reported by the fund in the Q1 of 2021, outperforming its S&P 500 TR benchmark that delivered a 6.2% return in the same period. You can view the fund’s top 5 holdings to have a peek at their top bets for 2021.
Alphyn Capital Management, in their Q1 2021 investor letter, mentioned Trebia Acquisition Corp. (NYSE: TREB) and shared their insights on the company. Trebia Acquisition Corp. is a US-based blank check company that currently has a $656.5 million market capitalization. Since the beginning of the year, TREB delivered a -5.87% return, while its 3-month gains are down by -4.64%. As of April 09, 2021, the stock closed at $10.18 per share.
Here is what Alphyn Capital Management has to say about Trebia Acquisition Corp. in their Q1 2021 investor letter:
“I initiated positions in Trebia Acquisition Corp. (TREB), backed by Bill Foley who has a good track record of value creation for shareholders. The position was initiated at prices fractionally above Net Asset Value. The likely downside if they fail to complete deals or if they announce deals the market dislikes is NAV ($10/share) less some fractional friction costs, while the upside could be meaningful. Some of the froth has come out of the SPAC market, so results may be subdued, nevertheless, I believe this is a reasonable lower-risk use for some of our large cash position until I find more long-term investments.”
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Our calculations show that Trebia Acquisition Corp. (NYSE: TREB) does not belong in our list of the 30 Most Popular Stocks Among Hedge Funds. As of the end of the fourth quarter of 2020, Trebia Acquisition Corp. was in 33 hedge fund portfolios, compared to 27 funds in the third quarter. TREB delivered a -0.98% return in the past month.
The top 10 stocks among hedge funds returned 231.2% between 2015 and 2020, and outperformed the S&P 500 Index ETFs by more than 126 percentage points. We know it sounds unbelievable. You have been dismissing our articles about top hedge fund stocks mostly because you were fed biased information by other media outlets about hedge funds’ poor performance. You could have doubled the size of your nest egg by investing in the top hedge fund stocks instead of dumb S&P 500 ETFs. Here you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.
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Disclosure: None. This article is originally published at Insider Monkey.