Mutoro Group Partners, LP
“First day of practice we had to learn the rules of basketball. Now, most people think rules tell you what you cannot do. But rules also tell you what you can do.”
– Bill Russell
|
Annual % Change |
Compound % Change |
||||
|
MGP, LP (Gross) |
MGP, LP (Net) |
HFRI Fund Index |
MGP, LP (Gross) |
MGP, LP (Net) |
|
|
2015 |
(3.5%) |
(5.0%) |
(1.1%) |
(3.5%) |
(5.0%) |
|
2016 |
24.5% |
18.9% |
5.4% |
9.6% |
6.3% |
|
2017 |
(3.3%) |
(4.7%) |
8.6% |
5.1% |
2.5% |
|
2018 |
(0.9%) |
(2.4%) |
(4.7%) |
3.6% |
1.2% |
|
2019 |
30.0% |
23.9% |
10.4% |
8.4% |
5.4% |
|
2020 |
34.2% |
25.7% |
11.8% |
12.3% |
8.6% |
|
2021 |
8.5% |
5.5% |
10.2% |
11.8% |
8.1% |
|
2022 |
(44.8%) |
(45.7%) |
(4.3%) |
2.3% |
(0.8%) |
|
2023 |
21.6% |
19.9% |
8.1% |
4.3% |
1.3% |
|
H1 2024 |
10.1% |
9.3% |
5.5% |
5.1% |
2.2% |
|
Aggregate |
61.0% |
22.8% |
60.3% |
||
|
Annualized |
5.1% |
2.2% |
5.1% |
||
Dear Partner,
For the first half of 2024, our fund returned 10.1% on a gross basis. Net of fees and expenses, it returned 9.3%.
During my college years, a professor shared a piece of wisdom in class that has stayed with me ever since:
“The purpose of an education is to resist the pull of sweeping generalizations and to learn how to make fine distinctions.”
Years later, while living in New York City—before the days of Uber or Citi Bikes, when yellow taxis were the most common mode of transportation outside of the subway or walking—I had an encounter that added another layer to my understanding of education. I entered a cab and struck up a conversation with my driver. He was an immigrant with advanced degrees who had struggled to find work in his field in America; he had turned to driving a taxi. During a wide-ranging conversation about cultural differences and raising a family here versus in his native land, he shared some wisdom. It resonated with me, much like what my professor had said years earlier:
“The purpose of an education is to not live in fear.”
These two perspectives are more valuable when one embraces that education doesn’t just come from academic institutions but from lifelong, self-directed learning. They speak to the multifaceted nature of this learning, emphasizing both the intellectual rigor helpful to making informed decisions and the emotional resilience required to navigate uncertainty.
I often turn to these ideas when I read news of increasing volatility in equity markets and prices falling in tandem across unrelated industries, as has happened this summer: Educate yourself. Make fine distinctions. Don’t live in fear.
That’s the mindset I try to bring to managing the portfolio.
The chart below shows the composition of our portfolio at the end of the quarter.
Portfolio Holdings
Thank you for your partnership and confidence. I welcome your thoughts and questions. If you would like to add to your investment or know someone who might like to join us, please feel free to reach out.
Sincerely,
Godfrey M. Bakuli
Founder & Managing Partner