Trend-following strategies require only a few large trends out of many diverse futures markets to succeed, whereas traditional investments typically depend on bull phases in asset classes like equity or fixed income. We believe trend-following is inherently more robust than relying on perpetual bull markets in any single market or sector. This approach provides effective diversification and reduces the fragility of traditional investment portfolios, particularly during market stress periods.

Our systematic process, designed to align with price trends across diversified markets, significantly reduces concentration risks while capitalizing on market changes regardless of direction. By maintaining disciplined exposure to multiple non-correlated markets simultaneously, the strategy can generate returns during various market conditions, including periods when traditional assets underperform.

Price trends are inherently uncertain and unpredictable, with investors often struggling to recognize and learn from recurring market themes. Therefore, the core principle of our strategy is to appropriately manage risk during non-trending periods, while systematically cutting losing trades quickly across multiple time frames to maintain a diversified portfolio. Our disciplined risk management methodology focuses on capital preservation and downside risk limitation, deliberately structuring the strategy to skew returns toward the upside, providing justification for the fund’s volatility profile.

By implementing consistent risk controls and maintaining a systematic approach to market participation, we can navigate challenging market conditions effectively while positioning the portfolio to capture significant trends when they emerge. This balanced approach allows us to deliver on our commitment to provide sustainable returns and meaningful diversification benefits relative to traditional investments.