Crescat’s Longest Running Hedge Fund Capitalizes on our Fundamental Equity Model
The Crescat Long/Short Hedge Fund is an actively managed equity hedge fund focused on capturing alpha through both long and short stock selection across a variety of market environments. It is powered by Crescat’s proprietary fundamental equity model. With a 24-year audited track record and historically low correlation and high alpha compared to major indices, the strategy is designed to generate strong absolute returns in a variety of market environments. The low downside capture ratio since inception highlights the fund’s strong outperformance in challenging markets.
The fund tactically adjusts net exposure based on Crescat’s macroeconomic outlook. This flexible approach allows the portfolio to adapt to changing economic conditions, providing opportunities for absolute returns and capital preservation.
Why Choose Crescat’s Long/Short Hedge Fund?
- Long/Short Equity With a Macro Twist: Integrates global macro views with bottom-up stock selection to create asymmetric risk/reward profiles.
- Active Management: Index funds have been in the driver’s seat since the bottom of the market in 2009, but the S&P 500 is now historically overvalued. Long/Short hedge funds have an extraordinary opportunity to prove their value over the remainder of this business cycle and the entire next one.
- Conviction-Based Positioning: Targets undervalued equities and short opportunities linked to major new macro trends and regime shifts.
Why Invest Now?
- Overvaluation in U.S. Equities: U.S. stocks are priced at historic extremes. Crescat is positioned to capitalize on downside risks through countercyclical long positions and selective short exposures.
- Recession Signals Are Flashing: We see a heightened risk of recession supported by deteriorating macro data. This fund has historically outperformed in bear markets.
- Commodities Are Entering a New Cycle: We believe resource-based equities are at the beginning of a long-term uptrend, particularly in precious and critical metals miners.
- Monetary Regime Shift: Global central banks have been increasing gold holdings while reducing reliance on U.S. Treasuries—supporting Crescat’s inflation hedge positioning.
- Bubble in Mega-Cap Tech: We see historically stretched valuations in tech giants and are positioned to profit from potential corrections in these crowded trades.
Fund Overview
| Minimum Investment | Main Class: $500,000; Institutional (Class 2): $1 Million; Institutional (Class 1): $5 Million |
| Management Fee | Main Class: 1.5% |
| Incentive Allocation | Main Class: 20% |
| High Water Mark | Yes |
| Liquidity | 3-year partial lock-up. May redeem 25% of the account after Year 1 and Year 2. |
| Notice | 90 days |
| Payout Period | 120 days |
| Administrator | NAV Consulting |
| Prime Broker | JP Morgan, Canaccord |
| Custodian | JP Morgan, Canaccord |
| Auditor | Deloitte |
| GIPS Verifier | Ashland |
Annualized Net Returns (as of 9/30/2025 Estimates)
| CLSF | CLSF Ex SP* | HFRX GL | S&P500 | |
| 1-Yr | 30.4% | 32.5% | 5.3% | 12.1% |
| 5-Yr | 6.6% | 6.9% | 7.7% | 15.6% |
| 10-Yr | 3.5% | 3.7% | 3.2% | 12.3% |
| Since Inception | 6.5% | 6.6% | 2.9% | 7.5% |
Past performance does not guarantee future results.
Important Disclosures
Discussion and details provided are for informational purposes only. The information contained here is not intended to be, nor should it be construed as, an offer to sell or a solicitation of an offer to buy any security, services of Crescat, or its Funds.
Performance
Performance data represents past performance, and past performance does not guarantee future results. Performance data, including Estimated Performance, is subject to revision following each monthly reconciliation and/or annual audit. Individual performance may be lower or higher than the performance data presented. The currency used to express performance is U.S. dollars. Before January 1, 2003, the results reflect accounts managed at a predecessor firm. Crescat was not responsible for the management of the assets during the period reflected in those predecessor performance results. We have determined the management of these accounts was sufficiently similar and provides relevant performance information.
Net returns reflect the reinvestment of dividends and earnings and the deduction of all expenses and fees (including the highest management fee and incentive allocation charged, where applicable). An actual investor’s results may vary due to the timing of capital transactions, high watermarks, and performance.
*Ex-Side Pocket Performance figures presented represent the fund’s net returns calculated without the impact of the San Cristobal Mining, Inc. (SCM) Side Pocket that was designated on July 1st, 2024. The SCM Side Pocket includes a private equity asset that is not available to new investors in the funds on or after July 1, 2024. This asset was included in the fund performance prior to that date. Excluding the SCM Side Pocket after that date provides a clearer view of the performance to investors coming into the funds after July 1, 2024. New investors cannot participate in the SCM Side Pocket and will not share in its potential gains or losses. Investors should consider both the overall performance and the performance excluding the side pocket when evaluating the fund’s returns.
Those who are considering an investment in the Funds should carefully review the relevant Fund’s offering memorandum and the information concerning CPM. For additional disclosures including important risk disclosures and Crescat’s ADV please see our website: https://www.crescat.net/due-diligence/disclosures/