The Maritime Fund aims to generate outsized returns over an 8-month trading period by embodying multi-pronged long/short investment strategies across allocated asset classes. The fund is comprised of a diversified set of sub-portfolios including Long/Short Equities, Commodities, Global Macro, and Machine Learning. Each group applies its expertise to seek unidentified opportunities, exploit market inefficiencies, and hedge market risk in order to generate high risk-adjusted returns.
 

Each group utilizes fundamental or quantitative analysis to identify securities or strategies that are currently priced far below their intrinsic or modeled value. We apply low-risk strategies to undervalued opportunities to create a hedge, while Portfolio Managers utilize higher-risk derivative strategies to capitalize on volatility. Investments within the Long/Short Equities group are largely focused on small- to mid-cap securities that typically present market inefficiencies. The Commodities portfolio provides exposure to the commodities market through trading derivatives on raw materials and investing in equities with strong correlations to commodity prices. The Global Macro portfolio invests in a wide range of securities, including bonds, futures, options, and currencies, to provide returns based on the world’s macro-outlook and to act as an indirect hedge for the Maritime Fund against unprecedented economic events.

The Machine Learning group focuses on developing, testing, and deploying quantitative trading strategies, as well as creating AI tools to streamline processes for other portfolios. These tools include risk metrics, screeners, and idea-generation frameworks that strengthen the fund’s analytical foundation.

As a result of the short-term approach, the Maritime Fund is exposed to significant market risk and must be extensively monitored. To mitigate this, we have structured the portfolio to maximize diversification within asset classes, thereby reducing overall fund risk. Before entering any position, extensive analysis is performed to create a structured investment thesis outlining entry and exit points, investment catalysts, and alternative opportunities, which ensures the quality and soundness of each executed trade. Each Portfolio Manager is responsible for micro-hedging their individual positions to reduce the fund’s risk exposure.

The Maritime Fund maintains an investment process with a robust management approach that allows us to minimize risk while continuing to benefit in volatile market conditions. Our framework combines multiple sources of quantitative and qualitative analysis to establish asset allocation, monitor risks, and meet our goal of generating substantial returns.