Artko Capital LP 2Q 2018 Partner Letter

For the second calendar quarter of 2018, an average partnership interest in Artko Capital LP returned 5.5% net of fees. At the same time, an investment in the most comparable market indexes—Russell 2000, Russell Microcap, and the S&P 500—gained 7.8%, 10.0%, and 3.3%, respectively. For first six months of calendar 2018, an average partnership interest in Artko Capital LP returned 11.2% net of fees, while investments in the most comparable aforementioned market indexes were up 7.7%, 10.7%, and 2.4%, respectively. Our monthly results and related footnotes are available in the table at the end of this letter. Our results this quarter came from contributions from Gaia, Skyline Champion, Leaf Group, Friedman Industries and Joint Chiropractic. Pullbacks in Hudson Technologies, Premier Exhibitions and our hedging strategy detracted from the overall performance.