Strategy
What is an alternative investment grade strategy?
The alternative investment grade strategy aims to enhance yield and return potential by investing in high-quality, investment-grade credit, while also mitigating capital loss through shorting and other hedging strategies.
Why invest in our alternative investment grade
strategy?
- Flexible and resilient strategy. Designed to target higher than corporate bond-like return, with less volatility.
- Active trading approach. Optimize yield curve positioning, exploit credit spread differentials, and dynamically adjust the portfolio to enhance alpha generation.
- Established relationship and industry expertise. Our deep expertise and long-standing relationship with company issuers, as well as timely access to valuable insights and attractive opportunities.
How does our alternative investment grade strategy work?
There is no guarantee that a hedging strategy will be effective or achieve its intended effect. The use of derivatives or shorts selling carries several risks which may restrict a strategy in realizing its profit or limiting its losses. which may cause the strategy to realize a loss. There may be additional costs and expenses associated with the use of derivatives and short selling in a hedging strategy.
INVESTMENT PROCESS: INTEGRATED SECURITY ANALYSIS, TRADING,RISK AND PORTFOLIO MANAGEMENT
Who is the strategy suitable for?
Our alternative investment grade strategy may be suitable for investors who:
- Seek a low-risk fund with a target return higher than the broad corporate bond market, while generating steady income.
- Desire diversification using a strategy with low correlation to other investments.
- Are interested in accessing hedging tools aimed to mitigate risks commonly associated with income investing (interest rate risk, liquidity risk, currency risk and credit risk).
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This information has been provided as a general source of information, is subject to change without notification and should not be construed as investment advice. This material should not be relied upon for any investment decision and is not a recommendation, solicitation or offering of any security in any jurisdiction. The information contained in this material has been obtained from sources believed reliable, however, the accuracy and/or completeness of the information is not guaranteed by Picton Mahoney Asset Management (PMAM), nor does PMAM assume any responsibility or liability whatsoever. All investments involve risk and may lose value. This information is not intended to provide financial, investment, tax, legal or accounting advice specific to any person, and should not be relied upon in that regard. Tax, investment and all other decisions should be made, as appropriate, only with guidance from a qualified professional.
There is no guarantee that a hedging strategy will be effective or achieve its intended effect. The use of derivatives or short selling carries several risks which may restrict a strategy in realizing its profits, limiting its losses, or, which cause a strategy to realize or magnify losses. There may be additional costs and expenses associated with the use of derivatives and short selling in a hedging strategy.
The offering of units of the Picton Mahoney Authentic Hedge® funds are made pursuant to an Offering Memorandum only to those investors in jurisdictions of Canada who meet certain eligibility or minimum purchase requirements. Prospective investors should consult with their investment advisor to determine suitability of investment. Please see the Fund’s Confidential Offering Memorandum for more information, including investment objectives and strategies, risk factors and investor eligibility.
Commissions, trailing commissions, management fees, performance fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. Alternative mutual funds can only be purchased through a registered dealer and are available only in those jurisdictions where they may be lawfully offered for sale.