Ebullio Capital Management is the commodities fund that lost 86 percent in February, after declining 70 percent in January, and YTD, is down 96 percent. We've already discussed the fact that in his letter to investors, founder Lars Steffensen was able to a) offer hope, by noting his ample qualifications to come back from such sack-rippingly bad results ("We took a hit," Lars wrote. "I've always bounced back") and b) look on the bright side, and make the argument why, performance aside, you're better off sticking your money with him than some other joker who'll just lie to you ("Most Managers would probably try to hush this up and not send out this Newsletter, but we have always been about transparency and having broadcast our winning months, we are going to do the same with our (albeit quite a lot more spectacular) losers and take the heat that comes with the territory.") Now, Zero Hedge has obtained the full letter and there's even more to love! Namely a pearl of wisdom Lars picked up while watching Crazy Heart, which is that you don't see the ass-bleeding on the horizon until you're laying face down on the couch, too uncomfortable to sit normally at your desk due to the Rectal prolapse.
Despite our very upbeat view on the future and performance of the Ebullio Commodity Fund, we have obviously had a tough couple of months and have certainly come to realize with Bad Blake (played by Oscar winning Jeff Bridges) in “Crazy Heart": You don't see it coming 'til it's gone.