The SGI Flexible Trend Allocator offers a diversified investment strategy through an exposure to 3 performing assets (Equities, European Credit, and Gold) and a defensive asset (Short-term bond without credit risk). The Index aims to capture the performance of the 3 performing assets when they are in a bull trend and limits the fall by investing in a defensive asset when some performing assets are in a bear trend.
Each month, the 1-month moving average of each performing is compared to the 12-month one.
For each performing asset, if the 1-month moving average is superior to the 12-month average:
The SGI Flexible Trend Allocator benefits from a volatility target mechanism to maintain realized volatility of the Index around 5%, the index can be leveraged with a cap at 200%.