Quality. The investment quality and risk assessment accuracy of the selected funds determine overall quality of the assembled portfolio. Quant Screen provides the most accurate framework for a fund risk valuation taking into account nonnormality of their distributions of returns by applying downside risk metrics (ex. ETL, LPM, Omega, MVaR etc.). Using the common measures like the standard deviation for the screening purpose leads to unpredictable results and, strictly speaking, is hardly applicable for hedge funds.

Exposure. The larger the size of the fund universe, the better investment opportunities of constructing a perfect portfolio. In practice, many bad investment decisions are derived from the limited choice of investment candidates resulting in cross investments and, in turn, poor asset diversification. Quant Screen tools offer a powerful solution to minimize the fund pre-selection time regardless of the size of the database.

Filters. Quant screening engine goes far beyond the common fund filtering criteria based on the standard deviation and mean return. It offers a broad choice of the advanced filters including correlations to the given factors (benchmarks), market neutrality, skewness, kurtosis and many more.

Trend Segmentation™ Screening is a proprietary routine of measuring fund’s performance relative to different market cycles. This technique takes into account the direction of the established market trend, while its concept is based on a simple consideration. Each fund manager has certain strong and weak skill points and, therefore, cannot perform equally across any market conditions. Furthermore, managers tend to employ similar trading tactics over recognizable market patterns.

The output of Trend Segmentation™ engine presents three fund subsets (bins) ranking managers across all market conditions: uptrend, downtrend and trendless. Knowing the tendency of the underlying funds’ performance during different market cycles and ranking the styles accordingly, a practitioner may greatly enhance portfolio performance, since it gives a clue to constructing dynamically trend-adjusted portfolios.