Thu, Jul 7, 2022
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Gresham evolves - the long-only firm launches new hedged strategies

Monday, April 02, 2018

Bailey McCann, Opalesque New York for New Managers:

After years as a long-only commodities shop, Gresham Investment Management is changing its perspective. In addition to Gresham's well-known commodities programs, J Scott Kerson, Gresham's head of systematic strategies has developed new long/short programs designed to take advantage of idiosyncratic parts of the commodities market.

"We spent a lot of time going through our history and also looking ahead at what might be accretive to our existing platform," says Douglas Hepworth, executive vice president, COO, and CRO at Gresham. "This undertaking essentially involved building a whole new software platform. But we think our investors see the value and there is a runway for future growth."

The hedged programs take two views of commodities markets. One strategy uses a factor based approach to commodities and the other is more quantitative. The quantitative program applies commodities trading algorithms to parts of the market that have less volume and aren't typically on the radar of other commodities managers. "The barriers to entry for what we are doing are very very high," Kerson says. "I feel comfortable saying we are one of the only CTAs with a singular focus on exotic commodities. It is very operationally intensive to do a strategy like this well and we have spent a lot of time on our infrastructure."

CTAs as a cat......................

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. Other Voices: ESG exuberance is at all-time highs. But will investors buy?[more]

    As investors increase their focus on mission-based investing, they continue to grapple with ESG and what it means to them. By David Shalom, Director of Capital Introductions at Pershing Innovation. New investment solutions. That's how managers deliver value and attract new inve

  2. Alts managers sitting on over $2.5tn+ of dry powder[more]

    Laxman Pai, Opalesque Asia: In the current rising interest rate environment, investment activity in the private markets has continued to grow, revealed a study. "With alts managers sitting on over $2.5T+ of dry powder and continuing to enjoy premium valuations and interest rates on a prec

  3. Opalesque Exclusive: Hong Kong manager expects additional tailwind in Asian markets[more]

    B. G., Opalesque Geneva: The Asia equity markets have not been at their best so far this year, with the MSCI Asia index down almost 13% YTD, but many managers remain buoyant about the region, as in

  4. Opalesque Exclusive: Emerging markets persist despite headwinds[more]

    Bailey McCann, Opalesque New York: Emerging markets have been under significant pressure since the start of the year, but there are some nascent trends that suggest that things could be getting better. Emerging markets firm Gramercy Fund Management recently released its third quarter outlook and

  5. Other Voices: The selloff is overdone[more]

    Authored by Heeten Doshi, founder of Doshi Capital Management. Anyone who is still bearish and calling for more downside is foolish. The selloff is overdone. To point to further declines from here is poor risk management. With the Nasdaq 100 down 22% and S&P 500 down 13% for the year