ARP offers two categories of investment products – Systematic Alpha and Alternative Risk Premia. Both are designed to provide superior risk-adjusted returns while exhibiting low correlation to traditional and alternative asset classes. Each invests in liquid, scalable markets.

Systematic Alpha

The Systematic Alpha offering leverages proprietary alpha forecast models and databases to create diversified sources of absolute returns. The models rely on fundamental and alternative datasets to identify dislocations and opportunities across their respective investment horizons.

Merger Arbitrage

Systematic Alpha Merger Arbitrage capitalizes on the spread between a company’s current share price and its acquisition price. The alpha forecast model uses machine learning and a proprietary database of 4000+ deals to estimate probability of deal closing, determine downside risk and perform competing bid analysis. The strategy invests in announced merger deals and Dutch auctions across the US, Canada, UK and Europe.

Global Macro

Systematic Alpha Global Macro seeks to take advantage of price differentials between related financial instruments on a dollar-neutral basis using macroeconomic based alpha forecast models. The strategy invests in 80+ futures and forward contracts across commodities, equities, bonds and currency markets.

Trend Following

Systematic Alpha Trend Following derives absolute returns from long, medium and short-term directional moves in various markets. The strategy invests in 100+ futures and forward contracts across four major asset classes: commodities, equities, bonds, and currency markets globally. The strategy takes long or short positions in these instruments where markets exhibit price trends.

Alternative Risk Premia

The Alternative Risk Premia strategies are designed to provide diversified exposure to hundreds of proprietary risk premia factors, broadly classified into market selection and security selection models. The strategies seek to capture these risk premia by utilizing a trade and factor-based investment process.

Alternative Risk Premia is offered in tailored investment vehicles that can be customized to provide diversified exposure suitable to the demands of each investor.

Discover Quantitative Research Written by ARP’s Partners