Swiss-Asia Cap Intro Interview Series – AlgoTrend
September 21, 2016
Written by Swiss-Asia
Launched in October 2015, AlgoTrend is an open-end fund that generates high returns in Asian listed securities with algorithm trading. Julien Moisson and Julien Guerrand tells us more.
- Why did you start AlgoTrend?
We had previously founded our own market making hedge fund, and found that the hedge fund world suits us better than banking. We are entrepreneurs, and Swiss-Asia’s platform allows us to focus better on the trading.
- What is the investment strategy?
We are an intraday only, fully automated strategy on Asian listed futures. We capture intraday market movements with in-depth, momentum indicators from the volatility curve. With over 15 years’ experience in options market making, we predict these movements by looking at the implied volatility’s curve.
- How do you keep the momentum going in today’s volatile market?
Our strategies are intraday and only correlated to volatility. This lets us perform better under volatile market conditions. When we started, we were only trading KOSPI Futures. Now, we have expanded to include HSI, HSCEI and Nikkei. We plan to add more markets, as diversification allows us to capture more market movements on a daily basis.
- What is your trading philosophy?
We trade with a scientific, mathematical approach by looking at extremely liquid markets with a complete option structure. With intraday, we always trade the ratio return / max drawdown. Even under low volatility market conditions, we are able to capture small market movements, which differentiates us from a long volatility fund.
- For aspiring entrepreneurs, what should they do when they start their own fund?
Think well about the cost structure. For small hedge funds, it is important to start at a relatively low cost. Swiss-Asia makes this possible.
- If you were not a fund manager, what would you be?
A professional poker player. I believe hedge fund traders and poker players have to be rational, consistent and keep human emotion to a minimum.
For more information on the featured funds, please visit https://www.swissasia-group.com/cap-intro/. Registration closes on 1 October 2016.