Third Point applies an opportunistic approach to investment, exemplified by Third Point Investors’ (TPOU’s) portfolio activity this year. As we discuss under Portfolio, the manager has successfully pivoted exposure to asset classes during the market volatility experienced in early 2020, managing risks and delivering a lower-volatility return for the year. TPOU’s objective is to provide consistent long-term capital appreciation. To achieve this, the manager looks across global credit and equity markets for the best risk-adjusted returns. During 2020, Daniel Loeb stepped back into the role of sole CIO, once again driving the investment process across the whole strategy. TPOU’s portfolio is now largely invested in three areas: credit, activism and equity of high-quality compounders. During March, the team deployed capital away from equities to credit situations with highly asymmetric outcomes. Simultaneously, they reshaped the equity portfolio through a series of well-timed entries into high-quality companies able to reinvest in their own businesses in order to generate high IRRs over time. New positions include Alibaba, JD.com, Amazon and Disney. Third Point’s strong long-term track record contrasts with a difficult past five years. Equity returns (S&P 500) have significantly outpaced TPOU over this period, but when compared to the AIC’s Flexible Investment peer group, NAV performance has been more in line. Loeb’s return as sole CIO led to several portfolio changes, enabling TPOU to rebound from market lows. Year to date, TPOU has therefore performed more strongly than this peer group, despite not outpacing the S&P 500. TPOU’s discount remains wide at 23%. The board has stated that it will reassess options if the discount has not materially narrowed by late 2020.