Tantallon Fund Report, 
May 2025

The fund rose +10.75%, and we reduce the drawdown this year to -8.89%.

While it’s always nice to report a double digit monthly return the reality is that residual scepticism on the sustainability of the extraordinarily swift bounce off the April lows meant that I ran too large a hedge against our US positions, and was slower than I should have been to remove the remaining stock shorts that had contributed somewhat to April’s positive returns, with the upshot that a long-book return of roughly +21% was substantially frittered away. Futures detracted -4.6%, and the continued failure of Bloom Energy to share in the euphoric bounce in AI-related names saw a further decline in option premium associated with that benighted name. JPY weakness in the second half of the month detracted a further -1.73%