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Alternative Market Briefing

Trowbridge Capital offers a twist on long-only

Friday, November 30, 2018

Bailey McCann, Opalesque New York for New Managers:

At a time when many investors are thinking about how to reposition their portfolios away from long-only strategies and into more defensive options, a new fund is coming to market with what it considers to be a unique twist on long-only. Trowbridge Capital Partners has created two trend following programs that are designed to avoid momentum volatility and help investors limit losses through dynamic risk management.

"The thing we do differently from everyone else is that we view risk management as part of our alpha generation," says Trowbridge Capital Partners President Brett Golden in an interview with Opalesque New Managers. "That's really not how risk management is viewed elsewhere and it helps us focus on capital preservation and outperformance when market conditions are well aligned with our strategy."

Trowbridge Capital has created two systematic strategies that are designed to capture medium-term counter trend opportunities in the market - Trowbridge Aggressive Growth and Trowbridge Dynamic Low Volatility. The strategies attempt to tamp down momentum volatility and also de-risk portfolios as market conditions shift. "We argue that everyone is looking at momentum as a factor in the same way, which leads to a greater potential for momentum crashes as a result of overcrowding. We are opting to diversify our portfolio away fro......................

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