HighView Hedge Strategies Portfolio Program
|
| |
Our Hedge Strategies Portfolio Program
is much more than simply a list of hedge managers.
Instead, it is an objective and comprehensive asset
management solution that is customized for each client
through an effective goals-based investor profiling
process, which is stewarded with a fiduciary mindset.
The details of our integrated offering are outlined
below: |
|
| |
 |
|
| |
Stewardship
Given the specialized nature of
hedge strategies, it is critical
that effective governance structures
be established with specific
mandates and with roles and
responsibilities clearly defined for
all of those individuals who have
been charged with the stewardship of
the wealth. HighView Financial
Group will work with you to design
and implement a robust governance
structure for the oversight of your
organization’s assets that are
allocated to hedge strategies that
adheres to regulatory standards and
follows a consistent set of industry
best practices.
Investor Profiling
HighView will work with your
organization to help you clearly
define and quantify a purpose for
the money entrusted to you. These
goals are always defined in terms of
both dollars and time horizon.
Once these investment goals have
been determined, we will then
construct discrete portfolios –
using customized hedge strategies
where appropriate -- to satisfy
those goals while recognizing the
three dimensions of your
organization’s needs:
- The economic requirement for
return
- The capacity to assume
varying degrees of risk
- The desire to outperform or
expectations for return
In working with you, HighView
Financial Group will use a “Balance
Sheet Methodology” to quantify
investment goals so that prudent
portfolio structures can be aligned
against each goal.
Asset
Management
The hedge portfolios that we
create for our clients range
from Liquid Alpha Strategies
to Long Term Alpha
Strategies. These portfolios
can be tailored to meet the
specific needs of investors,
balancing their desires and
needs as they relate to;
liquidity, transparency,
volatility, returns and time
horizon.
|
|
Liquid Alpha Strategies:
For investors seeking the ultimate in liquidity, transparency and security then a Liquid Alpha Strategies portfolio is the solution. This portfolio is comprised of a select group of thoroughly researched managers who are focused on exploiting short-term trading opportunities in exchange-traded securities (both long and short). These portfolios are structured to ensure near zero correlation between managers and very low to negative correlation with traditional stock and bond portfolios. Furthermore, these strategies are implemented through a managed account format whereby the manager never has access to the funds, but rather is provided authority to implement trades in designated accounts which are held with a reputable custodian. In addition, each trade, as well as the overall portfolio, is monitored to ensure compliance with the stated disciplines and constraints. Given the highly liquid and exchange-traded nature of the holdings the opportunity for near instantaneous liquidation of the underlying holdings exists. None of the lock-ups, gates or side-pockets that frustrate investors in traditional hedge funds exists within this portfolio. | |
|
|
Long Term Alpha Strategies:
For investors seeking longer term alternative growth opportunities in an intelligently structured manner, then the Long Term Alpha Strategies portfolio may be the right solution. These portfolios are comprised of a select group of thoroughly researched hedge managers each with a proven track record of successfully implementing specific strategies. As global opportunities change and evolve over time, so to do the strategies and managers within these portfolios. However there is one thing that does not change, and that is the fact that excessive leverage is always avoided. These portfolios can be customized to align with investor need, desire and comfort with respect to; liquidity, time horizon, volatility and targeted return. As with the structuring of any portfolio, discovering great managers is only half of the battle. Determining the most appropriate combination of strategies and managers is critical to ensuring the portfolio behaves as intended and effectively monitoring each of the managers, as well as the overall, portfolio is a must.
|
|
|
|
|
|
| |
|
|
| |
At HighView Financial Group, we believe that hedge
strategies, structured properly, continue to perform a
valid function within many client portfolios. Our
philosophical beliefs with respect to the use of such
alternative investment strategies are outlined below:
|
|
| |
-
An allocation to alternative strategies can perform an important role, but should only be considered after careful assessment of the risk and return parameters of each strategy and how it fits within the portfolio.
-
Alternative strategies should be viewed as an
enhancement to a traditional core strategy for the
purpose of adding alpha and/or mitigating risk.
-
Prudent alternative investment strategies should
avoid excessive financial leverage.
- Illiquid securities expose clients to another
form of risk that must be understood, accounted for
and only considered by clients who can tolerate an
investment time horizon of at least 7-10 years
without the need for accessing capital.
|
|
| |
The challenges in recent years have been that many of
these basic tenets of investment management were
forgotten and violated in the global hedge fund
industry. For instance, the use of excessive
leverage, which when combined with investment strategies
that were comprised of less liquid securities, managed
by hedge managers who, in many cases, had not been
effectively due diligenced, was unfortunately far too
common and resulted in the loss of capital for many
investors, both individual and institutional.
For these reasons, HighView Financial Group has
partnered with
Fortune Asset Management of the UK to bring a unique
hedge strategies program to Canada that offers our
clients the following benefits:
|
|
|
 |
|
|
• Due Diligence
Real due diligence which goes well beyond the numbers that is biased towards qualitative assessments -- which are ultimately important as the future success of these strategies depends upon people, their investment strategies and their disciplines.
• Objectivity
No proprietary money management that will conflict the assessment and recommendations of all hedge managers included in client portfolios.
• Transparency
Access to the details of the hedge manager strategies so that risk characteristics can be known and monitored. |
• Experience
A seasoned due diligence team that has several decades of experience successfully assessing diversity of hedge manager strategies.
• Universal Access
Not restricted to a specific set of hedge strategies and/or geographical regions.
• Customization
The ability to create customized hedge strategy solutions for clients, not to
"push" product!
|
|
|
