Hedge Fund Dream Holdings LLC Delivers 12.8% Return for Investors in 2020

The hedge fund delivered positive returns in 2020 despite Covid-19. The fund delivered 12.8% returns last year after making a big investment in SPDR Dow Jones Industrial Average ETF

The private hedge fund firm ended the year in the black, outperforming the broader market and the average hedge fund. The Dow trailed the Dream Holdings fund in 2020. The Dow Jones Industrial Average generated a 9.7% total return including dividends in the same year.

The High-frequency trading company, known for snapping up large positions in publicly-traded companies when the market tanks, has been actively raising capital.

2021 Investments 

Dream Holdings LLC buys land to potentially house its first U.S. data center in Arizona.

Dream Holdings recently bought a 37-acre land parcel in St. Johns, a small town northeast of Phoenix where the supply of available land for data center construction is running short.

Its shortage of land has pushed up real estate prices in St. John and sent data center developers looking at nearby towns to continue building in the area due to positive weather conditions. It's very sunny around the entire state most of the year and solar power is at a premium. On average, there are 272 sunny days per year in St. Johns. The firm has committed to ensure all their sites, which require large amounts of power for cooling and to maintain ambient temperatures, are powered by renewable energy such as solar power. Solar module prices have been declining significantly in the past few years. According to Forbes, Solar module prices in the US and around the world are plummeting in the next decade. Global solar, it seems, is well-positioned to weather the Covid storm.

Dream Holdings does not have a confirmed timeline for development for the site, but wants to ensure that they have the option to further grow, should their business demand it.

Data center infrastructure spending is expected to grow 6% globally in 2021 as businesses rebound from the coronavirus pandemic, according to experts.

Source: Dream Holdings LLC