CTA
LONG-SHORT
EQUITY
GLOBAL
MACRO
EMERGING MARKETS DEBT
FLEXIBLE
MULTI-ASSET
LONG-SHORT
CREDIT
EVENT
DRIVEN
A fundamentally-based strategy that seeks to benefit from macro trends at the global level and regardless of the economic cycle
Global Macro
A fundamentally-based strategy that seeks to benefit from trends regardless of the economic cycle
Benefits and risks for investors:
Global Macro strategies understand and analyse macroeconomic drivers, identifying mispricing and dislocations. They look for investment opportunities by assessing variables such as government and monetary policies, interest rates, inflation and economic cycles among others.
These strategies benefit from a flexible and broad investment universe while being also sensitive to various types of risk related to the intensive use of derivatives, leverage, arbitrage strategies, emerging market investments among others. Manager selection is one way to ensure navigation through challenging periods.
Partner:
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Benefits and risks for investors:
These strategies take long positions in stocks that are expected to appreciate and short positions in stocks that are expected to decline through superior security selection capabilities, seizing price dislocations and market inefficiencies, with the aim of improving the risk return profile of a portfolio.
These strategies can also take some directional risk, being market neutral or having a long or a variable net bias. Manager selection and diversification through regional or sector exposure, styles and themes will help mitigate risk.
Stock picking through long and short positions
Long Short Equity
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Benefits and risks for investors:
L/S Credit managers tend to take advantage of increased dispersion in the fixed-income markets to identify rising opportunities from market inefficiencies and other broad macro changes to capture alpha.
Highly volatile markets due to geopolitical uncertainties, credit spread widening and economic recession threat can put securities selection under scrutiny. In addition, credit manager selection is key given the wide performance dispersion in this sub category.
Attractive fixed investment stream through various fixed income instruments
Long Short Credit
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Benefits and risks for investors:
These strategies trade mostly liquid futures and are price-driven. They are mostly systematic, exposed to several asset classes and regions and often rely on sustained directional trends, bullish and bearish, to prosper.
Trending markets coupled with low correlation between assets are favorable conditions for the strategies to thrill while the opposite makes it difficult to identify uncorrelated trends, creating a greater risk of having multiple losing trades at the same time.
Diversify by taking advantage of up and down trends across different asset classes
CTA
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Benefits and risks for investors:
These strategies focus on events such as mergers, acquisitions, restructuring, assets sales, etc. that can create opportunities for investors resulting from price movements. Investment professionals in this space have solid legal expertise and strong competences in fundamental analysis, allowing them to identify and exploit the various related opportunities.
Event driven strategies are complex and require a thorough research, analysis and monitoring of the event. Superior portfolio construction and risk management are key to protect from any risk of losses, optimizing the risk reward of any situation and generating uncorrelated returns to equity indices.
A strategy exposed corporate actions, entirely uncorrelated to other asset classes
Event Driven
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Benefits and risks for investors:
Flexible multi-asset strategies seek to invest across different asset classes and regions, depending on the global macro environment. While allocations are mostly balanced, the weighting methodology of the multi-asset managers is often flexible in order to adapt to changing market conditions.
The ability to understand asset classes behaviour or identify securities with growth potential is key to perform. However, periods of high correlation between asset classes can create an environment that tends to be challenging for this type of strategies that are usually long only.
A fundamentally-based strategy that invests dynamically across various assets
Flexible Multi-Asset
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Benefits and risks for investors:
The ongoing deglobalisation where Emerging Market economies and currencies are taking their independence from the Western developed countries is creating new opportunities for investors seeking for diversification. Exposed to sovereign, quasi-sovereign and corporate bonds issued by Emerging Markets entities, investors improve their diversification at the regional level as well as at the asset class level with securities more and more driven by local factors.
With Emerging Market economies being naturally less stable and more volatile than developed countries, manager skills and knowledge of local monetary policies and geopolitics across more than 40 countries is crucial to select the right securities to be exposed to.
Long only emerging markets debt
Emerging Markets Debt
