Sat, Jun 24, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

VelocityShares launches two hedged equity ETFs

Tuesday, June 25, 2013

Bailey McCann, Opalesque New York:

VelocityShares LLC, developer of exchange traded products (ETPs) has launched two new exchange traded funds (ETFs) providing a sophisticated long/ short volatility strategy combined with a large cap equity allocation. Both VelocityShares Volatility Hedged Large Cap ETF (SPXH) and VelocityShares Tail Risk Hedged Large Cap ETF (TRSK) went live this morning. The announcement follows the firm's may licensing of the VelocityShares Volatility Hedged Large Cap Index and the VelocityShares Tail Risk Hedged Large Cap Index.

The new ETFs are indended to combine an 85% exposure to a US large cap equity portfolio with a 15% exposure to a volatility strategy, rebalanced every month. Both volatility strategies are designed to provide long/short exposure to VIX futures and potentially benefit from the interaction between the dynamics of the VIX futures curve and the convexity generated by using daily resetting instruments.

The launches are the next step in for the firm which has other products planned for later in the year. TRSK utilizes a volatility strategy which tries to hedge tail risk events in the S&P 500, at a potentially higher cost during normal market conditions, by targeting a slightly long volatility bias. SPXH utilizes a volatility strategy which also tries to hedge large volatility events in the S&P 500, while retaining upside potential during normal market conditions, by targeting a neutral volatility bias. The products are......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. FinTech - Rise of robots: Inside the world's fastest growing hedge funds[more]

    From Bloomberg.com: Believe the hype. Quants have never been more popular. After doubling over the past decade, assets run by so-called systematic funds have hit a record $500 billion this year, according to estimates from Barclays Plc. In some ways, their meteoric rise is due to the same technolog

  2. Legal - Bond market concerns could scuttle Paulson's Fannie-Freddie plan[more]

    From Bloomberg.com: A hedge fund proposal for freeing Fannie Mae and Freddie Mac from U.S. control is poised to face stiff opposition from investors who say it risks wrecking the mortgage-bond market. The Moelis & Co. blueprint, which firms including Paulson & Co. and Blackstone Group LP sponsored,

  3. Other Voices: Are your pricing policies and procedures for less liquid instruments adequate?[more]

    Komfie Manalo, Opalesque Asia: The unrelated position mismarking incidents that quickly precipitated the closures of both Visium Asset Management and Marinus Capital have been recent focal points for market participants, but regulatory scrutiny of valuation choices for less liquid instruments is

  4. FinTech - AI hedge fund Numerai now live on Ethereum, Cryptocurrency hedge funds generate huge returns as bitcoin surges[more]

    AI hedge fund Numerai now live on Ethereum From Cryptoninjas.net: Back in February, Numerai announced numeraire (NMR), a cryptographic token to incentivize a new kind of hedge fund built by a network of data scientists. Earlier today, the Numeraire smart contract was officially deployed

  5. Investing - Advisors slash hedge fund positions, Theravance Biopharma is a top pick of investment guru Seth Klarman, As asset management industry grows a search for new revenue streams[more]

    Advisors slash hedge fund positions From Barrons.com: Financial advisors have cut wealthy clients' exposure to hedge funds by up to one third over the past 12 months, The Financial Times reports. Advisor firms in the FT's annual top-300 ranking have reduced their hedge fund allocation to