CDT Capital Management’s Q4 2024 Investor Letter

CDT Capital Management, an investment management company, released its 2024 annual investor letter. CDT’s quantitative risk framework aims to assess whether the stock market is operating rationally. The letter highlighted a potential “commonsense crisis,” suggesting that investors may be making irrational decisions. The letter discussed on “commonsense violations”. The investors’ analysis indicates that the probability of losses is above average, but solely focusing on the numbers can lead to missing important context. They emphasize that violations of commonsense are evident in the data, and before analyzing the math further, it’s essential to recognize these underlying issues affecting market behavior. In addition, please check the fund’s top five holdings to know its best picks in 2024.

A copy of CDT Capital Management’s Q4 2024 investor letter can be downloaded here.