Solution introduction
Analytics designed to optimise hedging of shorter and longer term portfolios, providing Flags for start and end of high volatility market downside risk periods
PI-X™ is our brand new volatility risk forecasting analytics providing advance warning of downside market risk. Based on the flagship ALDX PI™ analytics, PI-X™ incorporates directional volatility forecasting providing end users with complete portfolio hedging solutions. PI-X™ is especially relevant for protection against (major) downside market risk. Using put option trading strategies, it is possible to provide zero hedging cost portfolio protection.
Applications and use cases:
- Asset managers: protection of 'shorter term' and 'longer term' portfolios using (deep) out of the money put options or volatility futures
- Hedge Funds, CTAs: option and volatility trading strategies
- Family offices: capital preservation using longer dated options
