Electron Capital, a hedge fund specializing in energy investments, is actively raising funds while navigating the current market volatility. The firm, which focuses on infrastructure, utilities, and companies driving the energy transition, believes its strategy will remain successful regardless of political shifts.

Ran Zhou, the current CIO and managing partner, emphasized that the firm's long-term focus on rising energy demands and the need for cheap, sustainable power remains viable. This approach has led to successful investments, such as Quanta Services, an electricity infrastructure company whose stock value has increased significantly since Electron's initial investment in 2019.

Despite challenges in the clean energy sector, Zhou sees potential opportunities as capital exits and valuations drop. The firm's strategy involves patiently waiting for the right market moments to capitalize on these shifts.

Electron Capital's performance has been noteworthy, with its long-short strategy up more than 3% in April, reducing year-to-date losses to 1.8%. This outperforms the S&P 500, which is down more than 6% for the year.

The firm has successfully navigated a leadership transition, with founder Jos Shaver handing over the reins to Zhou in October 2023. This change was well-received by investors, resulting in net inflows despite the transition. Electron Capital has maintained strong relationships with its backers, with over half of its top 10 investors having been with the firm for more than a decade.

To accommodate growth in its investible universe, which now includes 700 stocks, Electron has expanded its team, hiring five analysts since 2019. This expansion allows the firm to better identify and capitalize on structural changes in the energy sector, maintaining its focus on long-term holdings and early identification of industry shifts.