The managers note that January was characterized by high volatility, despite relatively stable index movements.
Much of the fund's large-cap exposure performed well. Long positions in Atlas Copco, SSAB, Boliden, Epiroc, and ABB contributed positively, while Hexpol, Paradox, and Vitrolife had a negative impact. On the short side, Small Cap Future, Embracer, and Lifco were positive contributors, whereas Sandvik and Vend weighed on performance.
The report also highlights that movements in small and mid caps were significantly more extreme. Differences in earnings reports and share price reactions remain substantial, with companies missing expectations being heavily penalized and those exceeding forecasts clearly rewarded. This negatively affected the fund's alpha within smaller companies, even though, according to the managers, the underlying investment cases are developing according to plan.
The managers have gradually reduced the fund's beta-adjusted net exposure in light of increased market uncertainty and higher idiosyncratic risk. At the end of January, the beta-adjusted net exposure was below 50 percent.
Strategically, the fund continues to increase its exposure to quality companies and selected small caps, with a view toward 2026. According to the fund company, the macroeconomic outlook points to a gradually calmer environment for interest rates and inflation, which has historically benefited smaller companies with higher operational leverage.
The largest holdings in the fund at the end of the month were Valmet at 6.01 percent, followed by Alcadon and Wall to Wall with portfolio weights of 4.95 and 4.78 percent, respectively.
| Norron Nordic Long/Short Equity, % | January, 2026 |
| Fund MM, change in percent | -1.49 |
| Fund year to date, change in percent | -1.49 |
