“Target Return: 20% per year net of fees“
Overview
HedgeMix Algo (the “Fund”) is an actively managed algo-based stock indice fund with an absolute return strategy. Our team is comprised of academics with high quantitative skills, and rigorous prior experience of evaluating financial data.
Objective
The objective of the Fund is to provide its Shareholders with the highest possible return in relation to the risk, where risk is measured as standard deviation of portfolio return. The target return of the Fund is 20% per year net of fees.
Strategy summary
The investment strategy is to anticipate and take advantage of short term trends in DAX40, CAC40, MIB40, SMI20, AEX25, EUSTOXX50, and OMXS30, positioning us early in trend reversals. As such we aim to generate positive returns under all market conditions with low correlation to the overall stock market and high alpha.
We utilize a proprietary signal system that combines our algorithms with pattern recognition to generate long and short direction signals. These direction signals are then used together with intraday charting analysis to time our entry in the market with high precision. Each trade has a defined stop loss and we recieve a balanced distribution of long and short trades.
We trade in futures contracts and the holding period is from intraday up to two weeks.
Our fund targets a high risk-adjusted return and market neutrality.
Allocation Strategy
Target return
The Fund targets an annual return of 20% net of fees.
Fund Strategy
The Fund intend to use an algorithmic model developed in-house in combination with pattern recognition to anticipate trend reversals in stock indices. In order to gain exposure to a stock indice the Fund will trade in futures contracts. Excessive cash may be invested into low-risk money market instruments and government bonds.
Investment Policy
The Fund may trade in derivatives including but not limited to futures contracts, may invest in low-risk money market instruments and government bonds, and may hold cash. Cash shall be held in a cash account at the Fund’s custodian bank. The Fund has no specific limitations in terms of geographical location and currency denomination of its investments. The Fund shall only trade in financial instruments where a market value is available on at least a weekly basis.
Derivatives
The Fund Manager may use derivatives to implement its investment strategy and for the purpose of leverage. The Fund Manager may further use derivatives to partly or fully reduce the currency exposure of investments denominated in a currency other than that of the Fund.
Risk profile
The Fund aims to maintain a relatively low risk level with a yearly standard deviation within the range of 4 to 10% measured on a rolling 24-month basis of the monthly return. The risk level may be above or below the threshold, especially during extraordinary market conditions and events.
The risk associated with investing in the Fund is primarily affected by the accuracy of the investment model and the skill of the portfolio manager in the implementation of the investment strategy and not by general market ups or downs.
Investor profile
The Fund target investors with an investment horizon of 1‐5 years. Time horizon for investments in the Fund is recommended to be at least one year.
Fund performance and historical returns
Target return of 20% per year net of fees.
Jacques Georget
Jacques has a double-degree in Finance & Economics from the University of Gothenburg and a master’s degree in Economics from Uppsala University, with a master’s thesis on monetary policy and wealth distribution. He has published fundamental analysis on numerous large-cap stocks which has made HedgeMix a top-ranked financial analyst at TipRanks.
| Fund | Share Class | ISIN code | Availability |
|---|---|---|---|
| HEDGEMIX ALGO LTD | CLASS B | – | pending launch |
