Notice. Informational overview. Not an offer or solicitation. Content may change without notice.
Private Fund Investing in Equities
Strategy and Mandate
The mandate targets capital appreciation from listed equities with explicit loss containment. Core exposure is to liquid large and mid caps in developed markets. Positioning reflects quality and profitability premia, durable cash generation, and clear accounting. Instruments comprise cash equities, index derivatives for beta calibration and tail protection, and short-dated cash management for collateral efficiency. Gross exposure is maintained within a conservative range with hard limits on single-name and sector concentrations.
Portfolio Construction and Risk
Construction
- Position sizing driven by ex-ante downside volatility and liquidity tiers
- Factor diagnostics across quality, profitability, low volatility, and residual beta
- Entry and exit discipline tied to earnings quality, cash conversion, and estimate revision paths
- Hedging policy using index puts or collars during defined drawdown regimes
Risk Controls
- Stop frameworks with breach escalation to risk oversight
- Counterparty and venue concentration limits with best execution procedures
- Daily exposure and liquidity monitoring with independent reconciliation
- Scenario and stress tests across macro, factor, and liquidity shocks
Research Process and Execution
- Screening: governance and accounting filters, sustainable margins, capital discipline
- Underwriting: variant perception, catalyst mapping, downside cases with recovery paths
- Valuation: cash flow and unit economics cross-checked with market-implied expectations
- Execution: liquidity-aware entry, phased builds, and post-trade analytics
Coverage is updated through earnings seasons, corporate actions, and regime diagnostics to maintain alignment with the stated risk budget.
Operations and Controls
- Independent administration, audit, and legal counsel
- Qualified custody, trade capture controls, and corporate action validation
- Valuation on observable prices with reconciled data sources
- Compliance program covering marketing rules and personal dealing
Disclosures. Equity markets are volatile and may result in loss of capital. Forward-looking statements are not guarantees. No assurance is given that objectives will be achieved. This page is incomplete by design and omits material details that appear only in confidential documents.
