Guernsey - Ruffer Investment Company Limited (41966) announced its results for February 2026, according to a press release issued on Tuesday.
The fund benefited from market rotation during the month, with software stocks down nearly 9%, while the S&P 500 fell less than 1%. Firms cut positions in artificial intelligence-related stocks as the sell-off appears to have been overdone.
The fund increased its allocation to Japanese stocks to about 5.5% after the Liberal Democratic Party won the election under Prime Minister Takaichi Sanae. The position contributed approximately 0.5% to returns. The company maintains exposure to the yen as currency protection.
Japanese stock positions are based on expectations of political stability and supportive fiscal policy. The fund also holds yen positions as rising interest rates in Japan become more likely.
With the U.S. 10-year Treasury yield falling below 4%, British and Japanese government bonds contributed about 0.4% to the performance. The portfolio maintains a low duration of approximately one year.
Credit spreads widened slightly during February amid concerns about exposure to artificial intelligence investments and credit management companies' software assets. Derivatives protection strategies appreciated slightly.
Performance was weighed down by financial stocks and Chinese technology companies, which were affected by a rotation away from large U.S. technology stocks.
The fund holds nearly 40% of stocks and maintains exposure to precious metals. Other holdings include oil, derivatives protection and cash positions.
Gold rose during the month as oil prices rose as geopolitical tensions intensified and the United States and Israel launched an offensive against Iran on the last day of February.