Strategies backgound header image

What is the Edge?

Alpha can exist because of persistent demand for risk transfer transactions.

The Lake Hill Strategies

Dynamic Hedge image

Dynamic Hedge aims to provide an asymmetric return profile with a positive expected carry. It seeks to capture low beta in up markets and strongly negative beta in down markets. The portfolio consists of exchange-listed S&P500™ Index Options and Futures.

Crisis Alpha

Crisis Alpha seeks to generate consistently positive returns over time, significantly outperform in volatile markets, and limit drawdowns. The strategy seeks to deliver uncorrelated returns with a near zero beta except in sharply downward market environments when it is most likely to strongly outperform. It is a tail hedge with a positive expected carry.

Dynamic Hedge Equity Replacement Image

Dynamic Hedge Equity Replacement targets a higher Sharpe Ratio than passive index investing by reducing left tail events/drawdowns. It targets a high beta to up moves and a lower beta to down moves in the S&P500™ Index. The portfolio consists of exchange-listed S&P500™ Index Options and Futures and/or Index ETFs.

Income Builder Image

Income Builder seeks to enhance portfolio yield annually by exploiting dislocations across the volatility curve regardless of market environment. Market exposures are tightly constrained within a risk framework focused on limiting potential losses for a given range of instantaneous market moves. The portfolio consists of exchange-listed, hedged long and short S&P500™ Index Options and Futures and short-term cash instruments.