AI Issue 4 2018 - John Harrison & Company

58 Acquisition International - Issue 4 2018 Eleuthera Capital is a specialist quantitative global macro investment firm. It is the investment advisor to several hedge funds, managed accounts and financial institutions. We profile the company as we aim to gain an insight into its success and extensive achievements. leuthera offers investment advisory services focused on trading currencies, equity indices, government bonds, commodities and their derivatives. The investment process seeks to profit from the short- term trading of markets in order to benefit from intraday price inefficiencies. Importantly, the founder of Eleuthera possesses over 35-years of global capital markets experience. This investment knowledge has been embedded into quantitative trading models in order to automate and systemise the investment process. Company: Eleuthera Capital AG Contact: Philippe Bonnefoy Address: Seedamm Plaza, First Floor,Seedammstrasse 3, H-8808, Pfäffikon, Switzerland Phone: 0041 55 417 4550 Web: www.eleuthera-capital.com Specialising in Quantitative Investment Strategies E 1804AI41 A forward-thinking company, Eleuthera continues to innovate with machine learning and artificial intelligence being added into its investment processes. The company has always been on the leading edge of advanced technology application in order to make investment decision- making more efficient. Investment processes, trade sizing, entry and exit targets and individual position and overall portfolio risk management are fully automated. The trading objective is to generate pure alpha. The management of Eleuthera believes that in recent years the great beta wave that has been fuelled by almost $20 trillion of global monetary stimulus and quantitative easing has lulled investors into thinking that the low cost beta current will push them along for years to come. In recent years ETF and passive beta strategies have been attractive investments thanks to this massive flow of liquidity. This tide has changed. Today, central banks are now diverging in their interest rate policies and some are raising rates for the first time in a decade. The ending of QE and the tightening monetary conditions will create a more volatile macro-trading landscape, which will present traders with many attractive opportunities and creating significant new challenges for passive beta strategies. The Eleuthera management team believes that in this new environment investors will seek to source investment returns that are no longer dependent on a rising market and the constant support of accommodate monetary and fiscal policy. Intraday trading ranges will widen during more volatile markets and wider price dispersion offers Eleuthera’s investors increasing profitable trading opportunities. In summary, over many years Eleuthera has built a systematic investment process that seeks to generate pure alpha from the short-term trading of global markets. Eleuthera believes that this trading may produce investment returns that are completely uncorrelated to anything else in an investor’s portfolio and this ability to offer significant portfolio diversification and attractive risk-adjusted returns will be extremely valuable to the firm’s clients in the years ahead.