J8 Global Absolute Return Strategy

The J8 Global Absolute Return Strategy (“J8 GARS”) is a liquid alternative investment solution. Capital preservation and capital growth are at its core. The program’s portfolio diversification properties and alternative streams of returns make it a compelling contributor to existing investments. J8 GARS only trades highly liquid exchange traded futures on commodity, currency, and government bond markets. It captures distinct and independent streams of returns within a systematic and formulaic investment process. ​
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• J8 GARS uses a systematic investment process to benefit from both directional trending opportunities and structural market inefficiencies. The program marries trend-following with strategies to capture market inefficiencies within a multi-strategy construct. Strict risk management protocols are further applied to generate persistent returns.
• The trend-following sub-strategies are applied to core global markets. Complimenting the trend-following core are sub-strategies that capture structural market inefficiencies within broad global markets.  This systematic multi-asset and multi-strategy approach stabilizes the overall strategy return profile, reduces drawdown severity and improves overall risk adjusted returns.

J8 GARS has been trading live since 1st January 2015  and continues to outperform liquid alternatives benchmark indices. Returns are uncorrelated to traditional equity and bond markets, as well as to other alternative asset classes.
The implementation of J8 GARS is cost efficient with notional funding and low margin-to-equity requirements.

The strategy is derived from our proprietary research.

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Responsible Investment Statement

AIMA Responsible Investment DDQ

Strategy description
The J8 Global Absolute Return Strategy (J8 GARS) trades commodity, currency, and government bond futures only. As a systematic program, J8 GARS utilizes trend-following, carry, term-structure arbitrage, and inventory basis signals in a risk-weighted diversified portfolio to systematically generate returns which are managed to a target volatility. It can systematically close-out and reduce exposures in response to changes in the market environment. The signal diversification and strict risk management protocols stabilize the returns, reduce drawdown severity and shorten recovery periods. ​As such, J8 GARS invests to preserve and grow capital and help diversify alternative and traditional investment portfolios.

​The risk of loss in commodity interest trading can be substantial.