1060 Capital, LLC

1060 Capital, LLC is a Chicago, Illinois–based hedge fund adviser registered with the U.S. Securities and Exchange Commission. Structured as a limited liability company, it manages capital for institutional investors, family offices, and sophisticated high‑net‑worth clients through privately offered funds and separate accounts. The firm operates as a classic fundamental equity hedge fund, with an emphasis on concentrated stock selection rather than broad, index‑like exposure. As an institutional investment manager, 1060 Capital, LLC files quarterly Form 13F reports with the SEC under CIK #0001602119. These filings disclose the firm’s reportable long positions in U.S.-listed equities and certain equity‑linked instruments at each quarter‑end. Short positions, derivatives, and non‑U.S. securities—which are typically important components of a hedge fund’s risk management and return profile—are not captured in Form 13F. On a 13F analytics platform, the sequence of these filings can be transformed into a manager‑specific Historical Track Record, normalized to a user‑defined notional, providing a holdings‑based view of how the disclosed long book would have evolved through different market regimes.

1060 Capital, LLC employs a fundamentally driven long/short equity strategy. The portfolio is constructed from the bottom up, based on detailed company analysis and an assessment of valuation, rather than from top‑down macro views. Typical focus areas include sectors with high dispersion of outcomes—such as technology, consumer, healthcare, and industrials—where deep research can uncover mispricings on both the long and short sides. The long book, as seen in Form 13F, generally reflects a conviction‑weighted approach: - Capital is concentrated in a limited roster of higher‑conviction positions, often representing the manager’s best ideas. - Additional, smaller positions provide diversification and optionality but do not dilute the influence of core holdings. - Exposure spans multiple sectors and market‑cap tiers, with a bias toward liquid, researchable names. On the short side (not visible in 13F), the firm is likely to target structurally challenged business models, cyclicals at peak earnings, or companies where consensus expectations are overly optimistic, using shorts both to generate alpha and to manage factor and market exposures. Turnover inferred from successive filings is typically low to moderate. Core positions often reappear across multiple quarters, suggesting a medium‑term holding horizon in which investment theses are allowed to develop. Trading activity is more likely to be driven by changes in fundamentals and valuation than by high‑frequency repositioning. From an analytical perspective, decomposing the firm’s 13F Portfolio Composition—by sector, issuer, and market capitalization—helps clarify how 1060 Capital balances concentration and diversification within its U.S. long sleeve.

Centering on concentrated, bottom‑up stock selection, 1060 Capital, LLC fits squarely within the fundamental long/short hedge fund universe. Its 13F filings under CIK #0001602119 show a conviction‑weighted U.S. equity book spanning technology, consumer, healthcare, financials, and industrials, with limited use of broad index vehicles. For allocators, these disclosures provide a clear, position‑level view of the long side of the strategy, though they reveal nothing about shorts or non‑U.S. holdings. On an advanced 13F analytics platform, the firm’s evolving 13F Portfolio Composition can be tracked to see how issuer concentration, sector tilts, and capitalization exposure adjust as opportunities and risks shift. By converting the filings into a normalized Historical Track Record, and overlaying the estimated Volatility Profile and implied Sharpe Ratio, analysts can form a structured, data‑driven picture of the disclosed sleeve’s compounding behavior across multiple market environments. The key diagnostic question for further due diligence is how dynamically 1060 Capital adjusts its long book—by sector mix, position sizing, and balance between stable core holdings and more tactical trades—as regimes rotate between growth‑led rallies, value or cyclically driven markets, and defensive, risk‑off episodes, and how clearly those adjustments are reflected in the capital path inferred from its reported 13F holdings.

The risk profile of 1060 Capital, LLC is shaped by its role as a concentrated, fundamental long/short manager. Actual risk at the fund level is governed by gross and net exposure, the interaction of long and short books, and explicit risk controls around sectors and factors—elements that are only partially visible in 13F data. Key risk dimensions evident from the disclosed long positions include: - Concentration risk: A relatively small number of top holdings typically account for a significant share of reported capital. This magnifies the impact of single‑name events—earnings surprises, regulatory decisions, management changes, or M&A—on the long‑only capital path. - Sector and style tilts: While diversified across industries, the portfolio’s emphasis on higher‑dispersion sectors and stock‑picking implies more exposure to growth/value and quality factors than a pure index. This can create periods of out‑ or under‑performance when factor leadership rotates. - Market beta: Reconstructed from 13F data, the long sleeve generally exhibits meaningful correlation with broad U.S. equity benchmarks, consistent with a long‑biased orientation, even if the hedge fund’s net exposure is moderated by shorts and derivatives not reported on Form 13F. By linking positions from one 13F filing to the next and treating them as held continuously between report dates, a holdings‑based engine can build a synthetic long‑only series for the disclosed book. From this series, one can estimate the sleeve’s Volatility Profile—how variable the long U.S. equity capital trajectory has been through different macro and style regimes. On the same normalized notional basis, it is possible to compute an implied Sharpe Ratio, providing a summary measure of how effectively the disclosed long portfolio has historically converted that volatility into risk‑adjusted outcomes. These metrics, however, must be interpreted as properties of the long U.S. equity sleeve alone. They do not reflect the impact of short positions, derivatives, or non‑U.S. exposures that may significantly alter the aggregate fund‑level risk and return experience.