The Capeo Dynamic Credit Opportunities investment strategy is backed by a proprietary, quantitative risk management model to analyse multiple top-down macro and fundamental data points to generate optimal
entry and exit points into the US and Global High Yield bond market.
According to the signal‚ the subfund seeks to implement its strategy objective by primarily investing in a diversified portfolio of high yield fixed income mutual funds or various cash management solutions. The selection of the respective investment periods is based on the academically proven strategy.
The main objective of the approach is a significant reduction of absolute losses (“drawdown reduction”) as well as the long-term risk-weighted outperformance compared to the US and Global High Yield fixed income markets.