Investment Objective and Policy

  • The investment objective of the Alternative Risk Premia Strategy is to seek to provide high, risk-adjusted returns while targeting low average correlation to the returns of traditional asset classes.
  • The Strategy seeks to achieve its investment objective through the use of various sub-strategies, set out below under the "Individual Strategies" section, which attempt to capture alternative risk premia or monetise market inefficiencies.
  • Despite the larger exposures to financial derivatives, several risk management procedures on both a strategy and portfolio level ensure that returns are created without the employment of excessive risks.
  • To protect the portfolio from tail contagion events, capital is allocated to strategies which generate positive returns in an environment where extreme negative returns are realized.
  • An equal risk weighting with a tactical overlay method is used to allocate capital to each strategy. The tactical overlay allows adjusting the initial allocation based on various additional factors, including, but not limited to an increase of systematic risk due to imbalances in a strategy, changes in correlations or liquidity.

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Future Value Capital LLP
3rd Floor, 60 Sloane Avenue
SW3 3XB London
United Kingdom

+44 203 608 27 98