Saving our best for 2017: AlphaC (SMA) March 2017
- AlphaC SMA (Single managed account) -0.59% (market close 31/03/2017)
- The AlphaC in positive territory to start the yea
- Steady sensible growth still the methodology versus riskier competitors.
- S&P 500 -0.04% in the same 1 month period.
*The data above is net of commissions but not of all performance fees. Managed accounts are not audited, though full trading data can be requested. NB There was a change of broker in August.
So we did it. Against marketing advice, we opened the doors mid month to part of our trading strategy. The key risk of this was of course if we lose money during that time, and that is exactly what happened.
We decided to weather the storm on the US interest rake hike as we are very confident in the robustness of our algorithms. Two things happened, 1, we lost money during the few days on and after the interest rate hike. This we knew was a possibility but the robustness was being able to limit losses and build them back quickly. Fortunately 2, the algorithm did exactly that and built back almost into overall profit by the last day of the month. What this showed to our potential clients was that in real time our strategies can weather the storm. This lead to a number of new partners signing up with us and our AUM increasing.
We pride ourselves on being transparent, honest and reliable. We may not have 10 years of trading history but we believe we have something special here. Not just in our risk adjusted performance, but with our team. Though it is a risk for us to open our doors for 2 weeks, we also secretly hope that it is a challenging trading environment during this period so the robustness of our system can be experienced during the best and worst types of volatility on the market.
We continually improve our strategies with a continual process of data and results analysis followed by back-testing, live testing and then pushing live strategy updates. We are not a button click and hope company and we pride our selves on our P&L.
We have continued to work on our HFT strategies. High in volume, low in risk with as low as only 2.5%DD and great in returns. As you may know HFT needs a very specific environment for data, execution and liquidity so that it can work to the best of its ability. We are currently only trading HFT via one broker and working on a second. We intend to trade full power in the coming days and will begin to report from next calendar month. Please enquire if you would like to know more.
As we currently run up to 17 contrasting algorithms using both medium and high frequency trading, we manage how and when these strategies are used based on economic data and experience. All of our strategies would work successfully if left to run continually, however we use many factors to decide upon the best mixture of active algorithmic strategies to run. This is based on overall risk parameters, macro economic changes and expected volatility in the market.
Who we partner with. Asset Managers, Introducing Brokers, Family Offices, Hedge Funds, Fund of Funds, Pension Currency Overlay, Seed Funders.
This information newsletter is issued by Quadron Capital Ltd and should not be used for the purpose of offer or solicitation in any jurisdiction or in any circumstances in which such offer or solicitation is unlawful or not authorised. This document should be used in conjunction with the relevant regulated partner only and is not suitable for retail investors. This newsletter should be used only as a source of example and should not be forwarded to any other party beyond the original recipient. Investment should not be made in any products connected to Quadron Capital until the full risk of investment has been considered. The capital value of the instrument is not guaranteed, may fluctuate and investors may get back less than their original investment. Past performance is not necessarily a guide to future performance and the value of an investment can go down as well as up. The value of any overseas investments will also be influenced by the rate of exchange. Additional documents can be requested from Quadron capital at firstname.lastname@example.org or via the website www.quadroncapital.com. Additional analysis is courtesy of Edgefolio.com.