Talenta Capital LLP : CTA

Summary

The CTA Fund offers investors access to Talenta Capital's systematic trend following trading strategy which takes long and short trades in highly liquid futures across a range of global markets. The strategy is designed to offer uncorrelated returns and a measure of protection against adverse market events. The CTA strategy targets annual growth of 10-15% at a level of volatility of 10-15%.

Investment Strategy

Portfolio creation algorithms have no tuneable parameters, exploit price pattern information, avoid lagged indicators and apply correlation controls when identifying potential trades. Position sizes are risk-adjusted. The strategy is designed to offer structural resilience in both range-bound and trending markets. The operational architecture reflects decades of systems and trading experience.

Risk Management

Five key principles used to control risk include: (1) Dynamic capital allocation enabling reduced risk of Fund drawdowns; (2) Proprietary, systematic risk management at fund and position levels combined with risk-adjusted position sizing; (3) Portfolios designed to be systematically uncorrelated at the instrument level, reducing potential exposure to adverse events in specific markets; (4) Lack of leverage applied to underlying instruments combined with high liquidity execution methods, enabling reduced slippage and downside volatility; (5) Structural long term non-correlation of CTA with equities markets.