Active medium term trend following
Trading since June 1992
Due to applicable laws on the marketing of financial products and services, Transtrend’s products and services may not be available in certain countries and/or for certain types of investors.
The information on this section of the website is only intended for professional investors (within the meaning of applicable local legislation) located and/or established in the European Union member states to which Transtrend has passported the offering of its products or services, Switzerland and the United States of America and to retail investors (within the meaning of applicable local legislation) located in The Netherlands. If you do not satisfy any of the above criteria or if you are unsure if you satisfy them, please do not proceed and contact us to discuss possibilities.
This website is for informational purposes only and does not constitute a solicitation to open an account advised by Transtrend or invest in a fund for which Transtrend acts as manager or trading advisor.
01 Jan 1995
20 Nov 2020
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This data should be viewed in conjunction with the explanatory notes, which are an integral part of this performance data. THE VALUE OF YOUR INVESTMENT CAN FLUCTUATE. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.
The Diversified Trend Program (DTP) is our managed futures program, with a track record going back to 1992. DTP is designed to participate in trends. As investors, we do so by taking positions in markets. While DTP’s trading systems are only fueled by prices set in the markets they trade, the program is geared towards capturing the underlying trends.
We realize that most price trends in markets are a reflection of trends and developments in our society. Each single development – such as a move towards the exploration of shale oil, or a move towards driving electric cars – is typically reflected by price trends in a number of different markets. In our approach we identify such a development as just one trend. With DTP we strive to be positioned in different trends. This requires trading many different markets, including alternative markets and ‘synthetic’ market combinations. These markets are selected and constructed as our vehicles to ride the underlying trends.
Our focus on the factors that really drive markets has the most far-reaching consequences for DTP's portfolio construction layer. Even though in our investor reporting we do present risk allocation charts over different asset classes – interest rates, equities, currencies, etc. – in our actual position sizing these asset classes never played any role whatsoever; the real factors driving markets typically exceed such asset class boundaries.
Managing money starts by not losing too much. While that may be easy in normal market circumstances, it is the extreme events that really matter.
A strong feature of DTP is its demonstrated ability to perform well during crisis periods, especially those accompanied with extended stock market declines. Our investors appreciate this – it makes DTP a welcome addition to their investment portfolios. But this feature does not come automatically with the program’s investment style. It is the aimed for result of many choices we deliberately make – choices that are at the very heart of our investment process.
Also at the very heart of our approach is the acknowledgement that we have to continue developing and adjusting all components of DTP to stay in sync with the markets. New markets spring up, others wither. And the ongoing modernization of market platforms and the shifts in behavior of their participants is fundamentally changing market dynamics. Such developments cannot be neglected; we believe that no trading strategy can be used for more than a few years without adaptations. An evolving world requires an evolving approach: the 25+ years track record of DTP is the result of that.
The investment universe of DTP consists of more than 500 futures, forwards and swap markets across multiple asset classes, providing access to trends via mainstream markets, but also via less-mainstream markets including 'synthetic' market combinations.
DTP has a demonstrated ability to perform well in times of crisis, such as the Dot-com Collapse (2001-2002), the Credit Crisis (2007-2008) and the Brexit Referendum (2016).
One of DTP's cornerstones is its layered risk management approach, composed of multiple non-linear correlation measures that respect how different factors impact different markets differently, including the tendency of markets to move more in symphony during stress events.
The DTP returns represent composite performance figures of the Enhanced Risk (USD) subset of DTP. This data should be viewed in conjunction with the explanatory notes, which are an integral part of this performance data, and the description of indices used. Equities are represented by the MSCI DM World Index (Net/Local Currency), Bonds are represented by the Bloomberg Barclays Capital U.S. Aggregate Bond Index, Managed Futures are represented by the Barclay BTOP50 Index, Hedge Funds are represented by the Credit Suisse Hedge Fund Index and Trend Following is represented by the SG Trend Index. Source of all data used in the chart and table: Refinitiv, Bloomberg, BarclayHedge and Transtrend. THE VALUE OF YOUR INVESTMENT CAN FLUCTUATE. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.
DTP is available via a range of different investment vehicles and formats that are tailored to meet specific client needs.
A variety of fund vehicles is available, among others Luxembourg domiciled alternative investment fund Transtrend Fund Alliance (TFA), for which Transtrend acts as Alternative Investment Fund Manager. TFA includes a range of tailored sub-funds for institutional and private investors.
A separate managed account enables clients to create a bespoke portfolio, customizing among others liquidity, base currency, funding, investor restrictions, reporting and risk profile.
DTP is also available through solutions offered by third parties, such as platform solutions, UCITS and structured products.
Risk of loss can be substantial. The risk of loss in trading financial instruments such as futures, forwards and swaps can be substantial, among others, because the prices of these financial instruments may be highly volatile and permit an extremely high degree of leverage. You should therefore carefully consider whether such trading is suitable for you. No assurance can be given that you will realize a profit on an investment or that you will not lose some, all or amounts in excess of an initial investment.
Decisions Based on Technical Analysis. Transtrend primarily employs a trading strategy that responds in a systematic, technical manner to recent price behavior in the markets traded. The main foundation of such an approach is the assumption that most of the relevant developments in the underlying markets, including those related to market-specific fundamental factors, are reflected in and by the market prices. If the extent to which the market prices indeed reflect this deteriorates, the reliability of such trading strategy is prone to decline. Transtrend attempts to develop strategies that will be successful under many possible future scenarios. However, there can be no guarantee that the strategy of Transtrend will be effective in or applicable to future market conditions.
Obtain a copy of the Disclosure Document. We recommend you to carefully study Transtrend’s commodity trading advisor disclosure document (Disclosure Document), including the description of the principal risk factors and a complete description of each fee to be charged to a managed account, before you decide to invest. The regulations of the United States Commodity Futures Trading Commission (CFTC) require that prospective clients of a CTA receive a Disclosure Document at or prior to the time an advisory or subscription agreement is delivered. Transtrend’s Disclosure Document is available upon request and will be provided to you in soft or hard copy at no cost. The CFTC has not passed upon the merits of participating in this trading program nor on the adequacy or accuracy of the Disclosure Document.