Lyxor Asset Management (Lyxor) and Koris International (Koris) have launched a Dynamic Core-Satellite (DCS) alternative multimanager strategy, underpinned by the DCS model devised by Koris.
Koris will act as investment advisor, while Lyxor will manage the weekly liquidity, AIFMD-compliant strategy.
The investment strategy aims to achieve long-term capital growth while limiting drawdowns in adverse market conditions. Specifically focused on the long-short equity segment, it uses a dynamic and innovative Core-Satellite approach. The Core strategy seeks to generate stable returns within a limited volatility by investing in a selection of managed accounts and alternative UCITS. Alternatively, the Satellite strategy aims to enhance the overall performance by adjusting the global beta upward or downward via long and short exposures to highly liquid index futures contracts.
“The Core-Satellite approach is particularly relevant in the current market environment characterised by high volatility but with upside potential,” says Philippe Malaise, Chairman of Koris. “This innovative strategy is a distinctive iteration of ‘regular’ long/short equity strategies, aiming to more efficiently capture opportunities in the equity space.”
Jean-Marc Stenger, Head of Investment Partners at Lyxor, adds: “We are very happy to extend our long/short equity range with this new launch. Lyxor’s investment platform now represents an investment universe of over 350 traditional and alternative funds, and USD31.9 billion of assets*. We are confident that the partnership between Lyxor and Koris will ultimately benefit investors.”