Welcome to Lake Hill
Lake Hill provides options and futures-based solutions to investors in search of yield, hedging, or absolute return. We prefer strategies with longer time horizons because it allows the law of large numbers to work in our favor. In order to successfully monetize the "edge" that arises from risk transfer activity, we typically transact repeatedly over a period of years, not months or weeks. We may also invest for the shorter term when unique opportunities are created due to market stress or extreme dislocations.
What Does Lake Hill Do?
We pursue investment strategies in listed index options, futures and other related products where we believe we have a persistent analytical or behavioral advantage due to the timeless demand for hedging and risk transfer. We avoid strategies which can be fleeting, inconsistent or not verifiable by common sense and data.
What Is the Edge?
Alpha can exist because of persistent demand for risk transfer transactions, not from complicated option pricing theory.
Why Lake Hill?
We use proprietary technology refined over decades to re-optimize portfolios continuously. Our "Engine" searches the entire options marketplace analyzing thousands of opportunities in search of the optimal investments for a given set of risk parameters or return objectives. The Engine's immense computational power and automation overwhelms traditional manual and rules-based approaches to option investing.
What Are the Lake Hill Programs?
- Tactical Trading targets absolute returns. It is a pure alpha strategy with limited capacity.
- Dynamic Hedge aims to match the equity market with reduced left-tail/drawdowns.
- Income Builder targets enhanced yield with constrained downside risk.