RQSI’s award-winning systematic global macro strategy can now be accessed through LPL Financial platforms. RQSI GAA Systematic Global Macro Fund, the firm’s mutual fund offering, was added to the platform in May 2021 in both Institutional and Retail share class offerings ($RQSGX, $RQSRX). The fund provides investment advisors with a liquid alternative strategy with expected little or no correlation to traditional asset classes.
The GAA Systematic Global Macro program is a purely systematic, global futures strategy engineered to provide multiple benefits to investors:
- Broad asset exposure, both long and short with extensive portfolio drivers. The strategy trades an investment universe of 60+ futures contracts across global Equity indices, Global fixed income, Commodities, and G7 currencies. Its diversified trading strategy includes a variety of Econometric, Technical, and Relative Value approaches across different timeframes, resulting in dynamic portfolio exposures across and within all traded assets.
- Attractive returns with negative Equity beta. In Fall 2020, RQSI reoriented its mutual fund by adding commodity exposure and removing all directional long Equity exposure while retaining short-oriented Equity signals. As a result, the product maintains its return potential in more risk-on market environments while offering increased diversification to portfolios with significant Equity beta.
- Alternative to anemic bond yields. Fixed income allocations have become increasingly unsafe. With current yields at historical lows and uncertain inflation outlook, investors may need a reliable hedge for their portfolios; the RQSI GAA Systematic Global Macro Fund can fill that purpose.
“In the fall of 2020, we pivoted the underlying strategy of this product in a substantial way to design it to provide complementarity and diversification to the investment portfolios of families and individuals,” said Neil Ramsey, CEO of RQSI.
“It's only been a few months since the change, but the results have been what we intended thus far. Since November 16 when we fully implemented the changes through May 19, the Fund is up 9.4% in the RQSGX Institutional Share class with less than 20% daily correlation to the SP500. The SP500 is up 14.4% in this period, so we're proud to be able to produce solid returns when our strategy only takes net short signals in Equities. We are very excited to offer this product to investors across LPL's broad network”