Factor investing and market neutral since 2009
Simplify Partners SA and Simplify SIF Sicav
Founded by Federico Polese and three capital partners in 2008, the company provides efficient, liquid and transparent portfolios. Today, the company oversees Eur200m, invested both fund or other platforms. The team is composed of experienced senior professionals with multicultural backgrounds and decades of asset management experience.
Dynamic asset allocation and ideal use of this fund
Simplify 02 is our historic fund (we have other portfolios on specific strategies). It provides a dynamic asset allocation with low correlation to markets. The strategy is revised annually, at present we are mainly market neutral (please contact us directly for up to date information on portfolio details). We pursue moderate volatility. Simplify 02 is ideal for both short and long-term investing through multiple economic cycles. Liquidity is a high priority. The distribution between asset classes to equity varies from negative to 60% according to the cycle phase.
The fund's inception was in February 2009. During this time, it ranked within the top 5th percentile in Bloomberg percentile several times. Since inception, the total return has been +57.61% as of February 17, 2020. Short term volatility has been 2.77%. Total active risk is 2.57. Average correlation to the equity market was 0.2%.
Suggested allocation for a diversified portfolio
As of February 2020, the fund is oriented to a market-neutral strategy as we consider both long equity and long fix income asset classes without significant upside.
Therefore, in the scale of volatility, it can substitute all the space south of equity investments from junior debt to IG bonds to cash.
As a hint, the composition of the portfolio develops along with three strategies:
(please refer to one of our professionals and presentations for more detailed and updated information)
1) high yield arbitrage
2) gold arbitrage
3) equity market neutral
a remaining part, up to 10% of the fund tactically invests in equity indexes.