CYGNUS LLLP

ABSOLUTE RETURN ASSUMING YOU RETURN DEEP BLACK HOLES!

founder @ CYGNUS LLLP

Published on Feb 22, 2017

I never really understood how the metric for the hedge fund world was the marketing of absolute return funds and the billions that were plowed into a black hole. Meaning the premise behind a hedge fund is that you are long and short the market hence a hedge against the rest of your portfolio. The reality of most absolute return funds is unless you have a segregated account you will never know the risk your hard earned money is exposed to every day. CYGNUSAAS.COM being a smart beta rules driven system is developed with risk-adjusted returns first and alpha is produced by always playing defense and being ready for any unanticipated market gyrations. All through automation and machine learning, it is impossible for an active alternative manager to keep up with the many moves of the market and the talent you must hire to manage the assets of large institutions. We will get to the elimination of humans on trading desks in the coming days. Risk-Adjusted Return for those of you who might not know the components of the ratio, Cygnus takes the least amount of money, takes the least amount of risk and makes the most amount of return all through the use of AI automation and precise risk management to the second, the enterprise solution trades 125 assets 24/7 around the clock. So if we are in the business of managing risk why is the holy grail of metric's absolute return. I would have to say to keep investors in the dark of what they are really doing inside the fund the darker the better until there is no return. While machine learning and automation of assets is new, R.A.R. is not, that is the number you want to be zeroed in on with any asset manager. It is not what you can make it is what can you lose while staying out of the dark.

Cygnusaas.com