INDEPENDENT THIRD PARTY VERIFICATION
Click to view independent third-party verification by TimerTrac. Note: Hydra began actual trading Jan 1st 2016 but TimerTrac began verification Feb 2016
Click to view independent third-party verification by Theta Research. Note: this auditing firm deducts a 1.75% annual management fee from the track record. Add back 1.75% to match the returns on ReturnStream
CONCEPT
HYDRA can be described as a highly active sector rotation strategy which provides long exposure to a variety of markets such as Broad Based US Indexes, Treasury Bonds, Metals and Mining Index, Energy Index, etc.
HYDRA can be considered an aggressive strategy - although it trades multiple asset classes, it invests in only one asset at a time resulting in concentrated exposures. The trading frequency is relatively high where it can switch between assets frequently. Holding periods of trades can range from 1 day to several days. It can also remain in cash for several days if no opportunities are detected.
Unlike traditional sector rotation strategies, HYDRA is not based on relative strength of price momentum among the assets. Instead, the system has a unique rule set for generating signals for each asset. The rule sets are based on economic forecasting models as well as price momentum and price reversion indicators. A 'meta-system' then evaluates the aggregate basket of assets and systems in order to establish a single daily position.
