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Professional Investors

The Hercules Investments product set offers advisors, intermediaries and individuals with access to differentiated standalone strategies as well as unique components to their overall investment allocation.

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Bear Market Advantage

Bear Market Advantage

Market-Neutral Performance

  • Low Correlated Alpha

  • Differentiated Return-Stream

  • Upside in Market Downturns

  • High Liquidity & Transparency

  • Active Investment Management

The Hercules Systematic Volatility Strategies are designed for investors seeking aggressive growth. The strategies seek to generate alpha with a market-neutral investment approach. The excess returns generated, have low correlations to broad markets as well as traditional and other alternative asset classes. The strategies are implemented by systematically trading in options on US Equity Indices frequently, over very short time horizons, in a direction-agnostic manner. Trading strategies focus on Trend Reversal, Premium Collection, Volatility Mean Reversion and Event Sigma. They are based on backtested, market data based models and a rules-based investment process.

Bear Market Advantage

Risk Management

  • Portable Alpha Overlay

  • Downside Protection

  • Low Market-Correlation

  • Low Portfolio Drawdown

Our tactical trading program is subject to minimal time decay, with frequent volatility trades that have very short horizons. The result is a limited negative impact on expected returns. We overcome the challenge of adding value, in timing of hedging decisions and minimise drag on expected returns, with a sufficiently successful backtested set of models.

Bear Market Advantage

Key Strengths

  • Systematic Processes

  • Increased Scalability

  • Faster Decision-Making

  • Greater Ease & Precision

  • Wider Market Coverage

  • Precision

We take a systematic, data and model driven approach to investing. It allows us to multiply the purview of our markets with greater ease and precision, and significantly cut down decision-making time. We budget our trade exposures to different risk factors and periodically conduct a post-hoc analysis of realized portfolio performance. Our rules-based trading takes the subjectivity and individual behavior out of the process, minimizing the scope for errors.