Solutions
Solutions
In addition to our XiAlpha Solutions, we offer a range of solutions from long term retirement planning solutions to theme specific stock solutions. All of our solutions are based on our own proprietary research. We only showcase solutions where we believe we have a unique edge or approach to a particular strategy. For each solution we lay out the basic concept, what we do, and what you get. Some of our solutions will direct you to individual product websites for more comprehensive details. Please feel free to explore our solutions. Our fees differ for each solution; all of them carry a flat 1% management fee, and some of them include a performance based fee in addition to the 1% flat fee.
Long Term Portfolio Solutions
An Actively Managed Retirement Solution
The objective of our Enduring Portfolio Solution is to deliver steady growth, minimizing drawdowns and outperform its benchmark on a risk-adjusted basis. It is a one-stop multifaceted strategic and tactical solution, combining the best of all our research and alpha models into a single solution. It is designed for long term investors who wish to take a more active approach as compared to a passive index solution. We have modeled a unique framework for observing how the markets behave and for understanding the drivers of asset class returns. All of our models for the Enduring Portfolio Solution are quantitative rules-based models, built and tested with data that spans multiple economic cycles.
An Actively Managed Retirement Solution
The objective of our Enduring Portfolio Solution is to deliver steady growth, minimizing drawdowns and outperform its benchmark on a risk-adjusted basis. It is a one-stop multifaceted strategic and tactical solution, combining the best of all our research and alpha models into a single solution. It is designed for long term investors who wish to take a more active approach as compared to a passive index solution. We have modeled a unique framework for observing how the markets behave and for understanding the drivers of asset class returns. All of our models for the Enduring Portfolio Solution are quantitative rules-based models, built and tested with data that spans multiple economic cycles.
Medium-Term Opportunistic Stock Investing
Uncovering Value Opportunities Created By Irrational Investor Sentiment
One of the most lucrative areas for investment returns is capitalizing on situations where the price of a stock has become far removed from its fundamental valuation due to extremes in investor sentiment. We have developed a systematic process for identifying opportunities for further fundamental research. Our fundamental research will vet the idea and determine an entry price that will provide a suitable risk reward trade-off. We accumulate positions in our top five ideas as prices accommodate our risk reward hurdle rates.
Uncovering Value Opportunities Created By Irrational Investor Sentiment
Millennial Home Saver Solution
Hedge Yourself Against Rising Rents and Home Prices
Designed specifically for millennials who are saving toward owning a home within a 7 to 10 year horizon. Being a renter but wishing to own a home in the future puts you at the mercy of rising home prices and rents, effectively the same as a short position in residential real estate. This solution is designed to hedge against rising rents and home prices. We invest in companies that are geared specifically toward the residential real estate market mostly through land, home builders, realtors, apartment REITS and home improvement retailers. The objective is to keep pace with or exceed the rate of appreciation in home prices.
Hedge Yourself Against Rising Rents and Home Prices
Designed specifically for millennials who are saving toward owning a home within a 7 to 10 year horizon. Being a renter but wishing to own a home in the future puts you at the mercy of rising home prices and rents, effectively the same as a short position in residential real estate. This solution is designed to hedge against rising rents and home prices. We invest in companies that are geared specifically toward the residential real estate market mostly through land, home builders, realtors, apartment REITS and home improvement retailers. The objective is to keep pace with or exceed the rate of appreciation in home prices.
Retiree Bond Income Enhancement Solution
Selling put-option premium on equities to offset low bond yields
One of the biggest challenges facing investors of retirement age, with typically heavily weighted bond portfolios, is the current low income yields that bonds provide. The sensitivity of bond prices to a change in rates – duration risk - is higher when rates are low, and current reward to risk ratio is significantly lower than it has been for the past two decades. For investors who require yield or income from their portfolio, a strategy of selling put-option premium on equities can provide attractive yields, in excess of bond yields. When viewed in light of the lower reward to risk ratio of bonds at current low interest rates, it is worth considering substituting the put option strategy for a part of your bond portfolio - under certain conditions - to enhance your yield.
Selling put-option premium on equities to offset low bond yields
One of the biggest challenges facing investors of retirement age, with typically heavily weighted bond portfolios, is the current low income yields that bonds provide. The sensitivity of bond prices to a change in rates – duration risk - is higher when rates are low, and current reward to risk ratio is significantly lower than it has been for the past two decades. For investors who require yield or income from their portfolio, a strategy of selling put-option premium on equities can provide attractive yields, in excess of bond yields. When viewed in light of the lower reward to risk ratio of bonds at current low interest rates, it is worth considering substituting the put option strategy for a part of your bond portfolio - under certain conditions - to enhance your yield.
Aggressive Yield Seeker Solution
Writing Put-Option Premium on our Opportunistic Stock Portfolio Candidates
This strategy is a combination of our Opportunistic Stock Investing Solution and our Bond Income Enhancement Solution. Instead of buying companies chosen for our Opportunistic Solution, we sell put option premium on them to generate income. Put option insurance that is not exercised by the buyers will result in projected yields for this strategy in the high teens. If the put option insurance is exercised, we will end up owning the companies at generally a 20% discount to the price at which we were willing to buy them today. Key to this strategy’s success is researching and underwriting the candidates to ensure we are willing to own them, and being prepared to act when volatility spikes. These will generally be small to mid-cap stocks ($1bn-$10bn market cap) and may, or may not, pay a dividend.
Writing Put-Option Premium on our Opportunistic Stock Portfolio Candidates
This strategy is a combination of our Opportunistic Stock Investing Solution and our Bond Income Enhancement Solution. Instead of buying companies chosen for our Opportunistic Solution, we sell put option premium on them to generate income. Put option insurance that is not exercised by the buyers will result in projected yields for this strategy in the high teens. If the put option insurance is exercised, we will end up owning the companies at generally a 20% discount to the price at which we were willing to buy them today. Key to this strategy’s success is researching and underwriting the candidates to ensure we are willing to own them, and being prepared to act when volatility spikes. These will generally be small to mid-cap stocks ($1bn-$10bn market cap) and may, or may not, pay a dividend.
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Please fill out the form to the right and we will contact you at your preferred time.