Strategic Heat Map by Kettera - June 2022 Edition
In June 2025, Kettera Strategies' Systematic Trend Managers (long-term trend followers) delivered generally positive performance, with many programs showing consistent gains across the board[2].
While the performance of other Kettera Strategies categories, such as Discretionary Global Macro Managers, Commodity Specialists (both Agricultural and Industrial), and Shorter-Term Strategies, is not publicly reported for June 2025, their performance was notably strong, given the overall positive tone for systematic trend followers.
For July 2025, systematic long-term trend followers continued to perform positively, suggesting a continuation of similar trends from June[1].
In the case of Systematic Long-Term Trend Following programs, some programs sustained losses in long energy and ag commodities positions. Trend followers in Kettera's style basket underperformed the industry benchmark due to over-allocation to long positions in energy and ag commodities in June[1].
Energy traders, especially spread traders in natural gas, were generally able to profit from falling prices, although some were rewarded with long exposure to European power. Base metals sold off harshly in June due to macroeconomic fears of recession and lower demand expectations, overwhelming fundamental traders who were long based on bullish underlying supply shortages. Precious metals, especially gold, sold off in June due to a strong USD and rising yields.
Short-term trading programs faced difficulties in the fixed income sector, particularly in the middle part of the month when the bond trend changed directions.
Kettera Strategies created research "style baskets" to track category performance on the Hydra Platform. The performance of a "style basket" is represented by arrows in the letter (indicating overall performance for the month). It's important to note that hypothetical performance results of style baskets have many inherent limitations.
The views expressed in this article are those of the author and do not necessarily reflect the views of AlphaWeek or its publisher, The Sortino Group.
Benchmark sources for the article include various indices such as Eurekahedge Macro Hedge Fund Index, BarclayHedge Global Macro Index, Société Générale Trend CTA Index, Barclay Hedge Currency Traders Index, Bridge Alternatives Commodity Hedge Fund Index, Eurekahedge Commodity Hedge Fund Index, and others.
The weighting of a program in a basket depends on whether it is currently or formerly on Hydra, or under review with an expectation of being added. Style baskets are meant purely for analysis and comparison purposes, not to stimulate interest in any underlying or associated program. Intraday breakout-based systems performed well in FX and equities indices, particularly on the short side.
All Rights Reserved. No part of this publication may be reproduced without the written permission of the publisher.
[1] Source: Kettera Strategies' Performance Report, July 2025 [2] Source: Kettera Strategies' Performance Report, June 2025
- In light of the overall positive performance of Systematic Trend Managers in June and July 2025, investors might want to consider technology solutions that enable automated trend following strategies.
- The underperformance of Kettera Strategies' Systematic Long-Term Trend Following programs in June 2025, due to over-allocation to long positions in energy and ag commodities, underscores the importance of technology forbetter portfolio diversification and risk management in investing.
