Double AplhaThe portfolio aims to consistently provide alpha through various market conditions. To do this, it makes use of Customised Solutions’ expertise in the derivatives market and those of Futuregrowth in the fixed income arena. The portfolio provides investors with unique sources of alpha through the combination of optimal derivative usage and the appropriate amount of credit and duration risk to meet its performance objective. The portfolio is constructed through the purchasing and appropriately timed rolling of long futures contracts while, at the same time, managing a pool of cash in credit and duration instruments according to a well-defined mandate.
This solution is suitable for institutional clients with a moderate risk profile in an equity context and a time horizon longer than three years.
Benchmark: FTSE/JSE SWIX 40 Index
Objective: The portfolio aims to outperform the FTSE/JSE SWIX 40 over rolling three-year periods.