Long/Short Equity

Investment approach

Absolute return strategy based on a three-tier approach of “pairs trading,” net long, and net short North American equity positions. This dynamic approach continuously seeks alpha regardless of the sector or market environment. Through rigorous risk management parameters including neutral currency exposure and strict liquidity constraints, the Fund targets positive long-term returns and limited volatility while providing downside protection versus a long only portfolio.

Absolute return strategy based on long-short pairs trading, net long, and net short opportunities

Key Characteristics

  • Aims to preserve capital in down markets while maintaining strong upside potential
  • Solid risk/reward profile as measured by Sharpe ratio
  • Targets enhanced diversification through a portfolio with low correlation to traditional asset classes
  • Alternative to stocks, having captured most of the market upside and almost none of the downside since inception
  • Targets lower volatility than equities and downside risk protection
  • Process emphasizing fundamental analysis and generating alpha through stock selection and active adjustment of net exposure