RGN Smart Alpha Fund 2X, Ltd
Executive Summary
The R. G. NIEDERHOFFER SMART ALPHA 2X is a subset of our flagship Diversified Program (inception 1993), and invests in 16 global fixed income and F/X markets. The pro forma returns of RGN Smart Alpha 2X are extracted from actual trading in these markets since 2000. These returns are available from the Manager upon request. Actual trading of the the Smart Alpha 2X as a stand -alone program commenced November 2018.
The program achieves three key objectives: (1) Stable absolute returns regardless of market environment, with zero correlation to Fixed Income, Equities and Hedge Funds; (2) Strong, consistent downside protection for portfolios containing Global Bonds, Global Equities, Hedge Funds, and CTAs; and (3) Fulfill Basel III requirements by investing only in securities with zero risk weightings, offering daily/monthly liquidity and providing high transparency.
The manager's 30 years of research into how behavioral biases affect financial markets has identified over 60 situations in which markets are predictable. To extract these unique sources of alpha, the firm's trading systems algorithmically generate investments, 24 hours a day, on both the long and short side, in the world's most liquid futures and FX markets, with trade durations averaging 1.5 days. The strategy performs particularly well in volatile markets conditions, when investors are most susceptible to biased, predictable behavior. Because of this, the strategy is long realized volatility.
In summary, RGN Smart Alpha 2X offers several unique features:
* Strong performance during declines in Fixed Income and Hedge Fund drawdowns.
* Negative/low correlation to Global Equities, Global Bonds, Hedge Funds, CTAs.
* Diversifies & improves portfolios containing Fixed Income, Equities, Hedge Funds, and/or CTAs.
* Long realized volatility, expected to perform particularly well in volatile markets.
* Attractive investment for investors seeking to reduce downside risk with a positive carry.
* A contrarian bias, combining mean-reversion themes with momentum strategies.
SMART ALPHA 2X returns do not reflect the impact of potential distribution fees and one-off structuring costs, and do not reflect the impact of dividends (because equities will not be traded).
PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.
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Disclaimer Info
The performance data displayed herein is compiled from various sources, including BarclayHedge, and reports directly from the advisors. These performance figures should not be relied on independent of the individual advisor's disclosure document, which has important information regarding the method of calculation used, whether or not the performance includes proprietary results, and other important footnotes on the advisor's track record.
The programs listed here are a sub-set of the full list of programs able to be accessed by subscribing to the database and reflect programs we currently work with and/or are more familiar with.
Benchmark index performance is for the constituents of that index only, and does not represent the entire universe of possible investments within that asset class. And further, that there can be limitations and biases to indices such as survivorship, self reporting, and instant history. Individuals cannot invest in the index itself, and actual rates of return may be significantly different and more volatile than those of the index.
Managed futures accounts can subject to substantial charges for management and advisory fees. The numbers within this website include all such fees, but it may be necessary for those accounts that are subject to these charges to make substantial trading profits in the future to avoid depletion or exhaustion of their assets.
Investors interested in investing with a managed futures program (excepting those programs which are offered exclusively to qualified eligible persons as that term is defined by CFTC regulation 4.7) will be required to receive and sign off on a disclosure document in compliance with certain CFT rules The disclosure documents contains a complete description of the principal risk factors and each fee to be charged to your account by the CTA, as well as the composite performance of accounts under the CTA's management over at least the most recent five years. Investor interested in investing in any of the programs on this website are urged to carefully read these disclosure documents, including, but not limited to the performance information, before investing in any such programs.
Those investors who are qualified eligible persons as that term is defined by CFTC regulation 4.7 and interested in investing in a program exempt from having to provide a disclosure document and considered by the regulations to be sophisticated enough to understand the risks and be able to interpret the accuracy and completeness of any performance information on their own.
RCM may receive a portion of the commodity brokerage commissions you pay in connection with your futures trading and/or a portion of the interest income (if any) earned on an account's assets. The listed manager may also pay RCM a portion of the fees they receive from accounts introduced to them by RCM.
Limitations on RCM Quintile + Star Rankings
The Quintile Rankings and RCM Star Rankings shown here are provided for informational purposes only. RCM does not guarantee the accuracy, timeliness or completeness of this information. The ranking methodology is proprietary and the results have not been audited or verified by an independent third party. Some CTAs may employ trading programs or strategies that are riskier than others. CTAs may manage customer accounts differently than their model results shown or make different trades in actual customer accounts versus their own accounts. Different CTAs are subject to different market conditions and risks that can significantly impact actual results. RCM and its affiliates receive compensation from some of the rated CTAs. Investors should perform their own due diligence before investing with any CTA. This ranking information should not be the sole basis for any investment decision.
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