The Global Fixed Income strategy offers diversified exposure to fixed-income securities across various markets, geographies, and credit qualities. It aims to balance risk and return while providing a steady income stream. This strategy encompasses multiple sub-strategies, each targeting distinct sectors of the fixed-income universe.
Physical assets include tangible investments such as precious metals and real estate, offering intrinsic value and protection against inflation or economic downturns.
Precious Metals: Investments in gold, silver, platinum, and palladium serve as a store of value and hedge against currency devaluation. These assets provide long-term stability, with opportunities for income generation through innovations like tokenized metals or staking platforms.
Real Estate: Indirect exposure through Real Estate Investment Trusts (REITs), ETFs, and private equity funds allows investors to benefit from the income and appreciation potential of real estate without the operational complexities of owning properties directly. It also provides geographic and sectoral diversification across commercial, residential, and industrial real estate.
Arbitrage strategies exploit pricing inefficiencies across various markets or instruments to generate risk-adjusted returns.
Debt Arbitrage: Focuses on mispricing in bonds, credit default swaps, and interest rate derivatives, benefiting from spread differentials or yield curve anomalies.
Volatility Arbitrage: Captures discrepancies between implied and realized volatility using options or variance swaps, offering uncorrelated returns during periods of market uncertainty.
Cross-Asset Arbitrage: Trades price inefficiencies across asset classes, such as equities, currencies, and commodities, leveraging correlations or mispricings.
Leverage and derivatives-based strategies amplify market exposure, offering higher potential returns alongside elevated risk.
Options Accrual: Combines the sale of put and call options with the underlying assets to generate premium income, capitalize on capital gains, and collect dividends. This strategy systematically manages entry and exit points.
Multi-Asset Leveraged: Utilizes Contracts for Difference (CFDs), futures, and options to trade across equities, commodities, and currencies. This approach optimizes capital efficiency and is tailored for tactical short- to medium-term opportunities.
These strategies target emerging trends and high-growth sectors, aligning with technological and societal transformations.
Thematic Capital-Protected: Combines exposure to transformative themes like AI, blockchain, and healthcare breakthroughs with structured capital protection. This allows investors to capture innovation-driven growth while preserving principal.
Cryptocurrencies: Spot buy-and-hold strategies focus on long-term investments in promising blockchain projects with strong use cases and adoption potential. By holding through market cycles, investors aim to benefit from capital appreciation, staking rewards, and diversification.
Multi-asset approaches provide diversification by dynamically allocating across various asset classes, balancing risk and return.
Multi-Asset Momentum: Employs systematic models to capture price trends across equities, bonds, commodities, and currencies, generating returns from sustained momentum patterns.
Multi-Asset Equity: Focuses on systematic equity allocation across regions, sectors, and investment styles, dynamically adjusting exposures to maximize risk-adjusted returns.
Market Neutral: Balances long and short positions to exploit relative price differences while maintaining minimal market exposure, generating consistent, uncorrelated returns.
Event-driven approaches capitalize on corporate or macroeconomic events, leveraging specific triggers to unlock value.
Merger Arbitrage: Trades on the spread between the market price and acquisition price of target companies.
Distressed Securities: Invests in companies undergoing restructuring or bankruptcy with recovery potential.
Special Situations: Focuses on spin-offs, share buybacks, or regulatory-driven opportunities.
Real estate exposure is achieved indirectly through financial instruments and funds, avoiding the complexities of direct property ownership.
Market Risk: Exposure to volatility or adverse price movements.
Liquidity Risk: Some alternatives, like private equity or real estate funds, have limited liquidity.
Leverage Risk: Leveraged strategies amplify both gains and losses.
Complexity Risk: Strategies involving derivatives or structured products may require specialized expertise.
Regulatory Risk: Changes in regulations can impact specific strategies, such as cryptocurrencies or real estate.
Alternative investment strategies encompass a wide range of opportunities tailored to diverse investor needs. From the tangible stability of physical assets to the high-growth potential of thematic strategies and the tactical precision of derivatives, these approaches provide unmatched flexibility, diversification, and return potential. For investors seeking to expand beyond traditional markets, alternatives offer a robust framework to navigate today’s dynamic financial landscape while achieving long-term financial goals.
