ESI Alpha is an overlay model portfolio derived from a research-based investment strategy. It aims to generate positive returns in every business cycle phase.
The strategy systematically combines long-term macroeconomic data with mid-term behavioral finance components and short-term technical analysis. Its model portfolio is designed as a complementary module that enhances traditional asset allocations’ risk/return relationship. Only institutional investors can access ESI Alpha.
The illustration above shows how ESI Alpha added value to a beta component (S&P 500 total return index). The embedded overlay model portfolio aims to exploit anomalies in stocks, rates commodities, and currency pairs. It has no bias to be long or short in any market at all times and can be overlaid at various exposure levels.
All estimates above are based on an 80% allocation to the S&P 500 total return index along with a 20% allocation of the ESI Alpha overlay model portfolio. All statistics include a negative contribution of 2% p.a. fix and 20% p.a. performance adjustment. Any other fees and costs such as brokerage fees, transaction costs, etc. are omitted.
The statistics below reveal the added value from the ESI Alpha overlay model portfolio. It segregates the overlay contribution by adding it to a risk-free proxy (3m US Treasury yield). Moreover, the estimates below are gross of fees and costs.
Warning: Past performance is not a reliable guide to future performance.
This webpage content is not intended to be comprehensive and is designed to provide summary interim information. IT IS INTENDED FOR QUALIFIED ELIGIBLE PERSONS ONLY. It is not a recommendation or investment research and is classified as a marketing communication in accordance with the European Union (Markets in Financial Instruments) Regulations 2017. It does not constitute an offer or solicitation for the purchase or sale of any financial instrument, trading strategy, product or service and does not take into account the investment objectives, knowledge and experience or financial situation of any particular person. Investors should obtain advice based on their own individual circumstances from their own client adviser, where applicable, investment intermediary or other legal or tax advisor before making an investment decision. Further information in relation to the management of potential conflicts of interest is available upon request. These documents are available from ESI Analytics Limited, Merchants House, 27-30 Merchants Quay, Dublin 8, Ireland.
All estimate figures are based on the overlay model portfolio displayed and updated on scienceinvesting.com. The model portfolio does not include transaction costs. This data should not be reproduced, published or disseminated in any manner. Although ESI Analytics Limited considers the data to be reliable, no warranty is given as to its accuracy or completeness. Any comparisons against indices are for illustrative purposes only.