Managers & Models

Catalyst/Millburn Hedge Strategy Fund

Fueled by a combination of active and passive strategies, the Catalyst/Millburn Hedge Strategy Fund is an investment vehicle crafted for long-term capital appreciation and is available as a model sleeve in Freedom Advisors. The fund seeks to surpass conventional long-only equity investments, providing investors with an approach to wealth creation while minimizing drawdowns during challenging market conditions.

Global Diversification:

Catalyst/Millburn is distinguished by its globally diversified portfolio, seamlessly trading in a spectrum of global equity, currency and interest rate instruments. The fund also engages in futures contracts across commodities in energy, metals and agriculture, ensuring a comprehensive and well-rounded investment strategy.

Systematic Multi-Strategy Approach:

At the heart of Catalyst/Millburn is a 100% systematic strategy, offering exposure to over 125 markets, uniquely divided into two components: active long/short futures and FX, and strategic equity. The former is driven by multi-factor, quantitative and systematic trading strategies, responding to varying market conditions. The latter provides a relatively passive portfolio of global and U.S. exchange-traded funds (ETFs), incorporating buy-and-hold strategies to maximize diversification.

Active Long/Short Futures and FX:

The fund's active long/short futures and FX component harnesses the power of a diversified array of global liquid instruments. Historical performance during equity stress periods underscores its resilience, with positions in currency, fixed income, stock index, and commodity instruments determined by sophisticated quantitative methodologies.

Strategic Equity Exposure:

Complementing the active component, Catalyst/Millburn incorporates a strategic equity exposure. This facet assembles a relatively passive portfolio of global and U.S. ETFs, employing buy-and-hold strategies to optimize diversification. The selection of these positions is driven by correlation and risk analysis, aligning with the fund’s commitment to delivering consistent, risk-adjusted returns.

In summary, the Catalyst/Millburn Hedge Strategy Fund represents a forward-thinking investment approach, marrying active and passive strategies to navigate the complexities of today's financial landscape. Investors seeking long-term capital appreciation coupled with a prudent risk management approach will find this model to be a compelling addition to their portfolios.