We live in a ‘macro’ driven world while as investors our ‘micro’ moves determine our outcomes. You have to consider the major macro trends, how they may affect your existing strategies – negatively and positively – as well as identifying the probable paths ahead and then position accordingly.
It takes imagination to perceive broad systemic risks and opportunities, hence human minds are still required at the top level. However, it has been well said that a wealth of information creates a poverty of attention amongst humans, with that in mind we turn to the powers of AI and Big Data analysis to effectively turn macro trends into micro moves. These tools can process much more data and effectively screen and identify opportunities across the giant universe of global financial markets.
Once the opportunities have been identified, specific investment strategies can be devised, implemented, and managed – here again the capacity to stay unemotional, focused 24/7/365 and always rules driven gives the algo-driven approach an edge. At The Strategic Funds we focus on blending these two elements for superior outcomes.
The Strategic Commodity Fund.
Your uncorrelated solution supported by long-term macro trends.
The Strategic Commodities Fund (SCF) seeks portfolio diversification and strong capital appreciation that is uncorrelated with major market indices by exploiting both contrarian and persistent directional moves in the markets.
SCF trades exchange-listed futures contracts, which are taxed at more favourable rates than equities or fixed income securities.
SCF is positioned to capitalize on patterns of both persistent directionality and mean-reversion in the most liquid commodity markets including energy, metals, softs, and rates.
SCF employs a machine learning approach known as Swarm Intelligence to systematically monitor, rank, and rebalance between multiple purpose-built alpha-seeking trading strategies that exploit bullish and bearish market opportunities across multiple time frames and market complexes.
The breath of alpha styles, timeframes, and markets available to the programs, paired with timely monitoring of alpha-source momentum, combine for a strategy capable of adapting to market conditions.
The strategy has the ability to be profitable in both up and down markets. Positions taken may be long, short, flat (no exposure) or a combination thereof based on our models. The strategy uses a risk parity concept to construct portfolios, which produces, over time, a more balanced return profile across markets traded. Risk controls include limits on market exposure, position-sizing using risk-parity, and diversification by sector and strategy.
This fund will be open to outside Accredited Investors in Q4 2021. Please Contact Us for more information and to register your interest.