LRI Invest, an investment services company and subsidiary of Apex Group Ltd, is marking the three-year anniversary of the UCITS umbrella DIAMOND I SICAV, part of the TAO Alternatives strategy. The umbrella will complete its three-year live track record on 31 March, 2020.
At its thirteenth year, the TAO Alternatives liquid alternative investment strategy is one of the longest standing in the Macro/Risk Premia space and exhibits a live track record of 6.4 per cent net average annual return.
It was set up in 2007. To enable external investors access to the fund, it is under the general management of LRI Invest SA, a Luxembourg based management company and AIFM, since September 2017.
The investment approach of the TAO Alternatives strategy is rather unique and focuses on a discretionary alternative approach to multi-asset investing. The aim is to extract and monetise opportunities mainly from Equity, Interest Rates and Foreign Exchange markets while achieving long-term equity-like returns with significantly lower drawdowns in stressed market situations. The strategy has a very low correlation with traditional asset classes. The absolute return investment approach is achieved by combining multi-asset class diversification with long volatility positions.
Of particular note is the de-correlation in negative and volatile market phases.
The setup of a UCITS umbrella was a natural development after starting the strategy, followed by the creation of an AIF format in 2013. The two formats of the strategy currently hold EUR375 million assets under management.
Achim Motamedi, LRI Invest Fund Manager for the Diamond I SICAV, says:
“The TAO strategy has experienced an outperformance with 6.75% annual return in 2019, a generally challenging year. This has been made possible through unwavering adherence to our core philosophy: strict risk management, pragmatism and quantitative decision making. We are thrilled with how our strategy is performing since 13 years and the feedback from the investor community.”
Frank Alexander de Boer, Managing Director of LRI Invest, says: “We are very pleased to see the Diamond I Sicav reach its three-year live track record, an important milestone for institutional investors. We see the continuity and successful performance of the fund as a positive result of our long standing cooperation with TAO Alternatives, a provider with a clear philosophy and an experienced team. We are looking forward to continue our successful partnership.”
