We don’t believe in magic but rather prefer the harsh reality with all its opportunities and challenges. We have eliminated all the guess work and have modelled reality as close as possible applying the latest scientific research in quantitative investment algorithms.
Investing can be very emotional. Various studies have shown that emotions have a considerable drag on performance. We at Schlossberg&Co have eliminated all human emotions from the investment process and rely on facts only.
Our model is designed to cut the worst losses while participating in the upswings. It’s not magic it’s just consistent risk management. Our quantitative approach allows us to exploit market inefficiencies and is unique in the industry.
While common investment strategies are diversified only on the asset level, we include an additional layer of diversification by including a set of diverse algorithms.Learn More
For instance, we analyze the prices of different time horizons and give different scores depending on where the current price is.
We put these scores in relation to the risk (volatility) of the different assets by multiplying with 1/volatility.
We then take the sum of the absolute score and allocate funds of the portfolio accordingly.
We repeat that process on a regular basis.
Our model has proven successful in the most drastic financial crises over the past two decades. For instance in 2008 benchmark indices have lost more than 20% while our model has shifted into defensive assets ahead of the downturn and managed to close the year with more than 10% return.