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Alternative Market Briefing

Swiss manager launches systematic commodity strategy

Friday, April 04, 2025

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By Opalesque Geneva:

Commodities are the top-performing sector in 2025, and investor interest in commodities and CTAs is growing, according to some. The BCOM TR commodity index is up 8.9% YTD through March (11.5% in the last year) - below the 2008, 2011 and 2022 highs but trending up.

FALGOM AG, a Swiss asset manager that delivers algorithmic investment alternatives, believes the macro environment in the years ahead is inflationary, which will drive commodity prices higher.

They have recently launched a new strategy aimed at investors seeking actively managed commodity exposure.

Algorithmic Regime Program (ARP) Commodities is a 100% systematic strategy - and so devoid of emotional bias and giving investors a long-bias in this sector.

It takes on a multi-strategy approach with dynamic exposure, constantly adapting to market shifts. At its core is a momentum strategy based on machine learning (ML), supported by mean reversion, trend-following and momentum long-only sub-strategies.

Momentum investing is a trading strategy in which investors buy rising securities and sell them when they look like they've peaked. The goal is to work with volatility by finding buying opportunities in short-term uptrends and then selling when the......................

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