Client Type: Hedge Fund
Sector: Multi-Strategy Alternatives
Location: United Kingdom
Challenge:
Fund performance was destabilised by commodity market volatility. Investors demanded reduced drawdowns and more consistent returns.
Solution:
Designed a dynamic tail-risk overlay that automatically adjusted exposure under adverse conditions – switching from long to short – to mitigate drawdowns.
Result:
- Avoided forced liquidations during stress scenarios
- Smoothed P&L volatility and stabilised investor returns
- Enabled USD 200 million in AUM growth
Value Delivered:
Enhanced crisis resilience, boosted investor confidence, and enabled sustained fund expansion.