Sigma’s mission is to provide customized investment solutions to sophisticated institutional investors. With a unique blend of investment advisory, risk management, managed account platform and technology services. Sigma delivers an investment edge to investors by bringing transparency to the opaque world of hedge fund investing. Sigma’s innovation and technology is driven by an elite group of professionals in the areas of investments, risk management, research, mathematics, compliance and operations who are dedicated to delivering high-touch, bespoke and value-added services to institutional investors.



MANAGED ACCOUNT PLATFORMS

  • Turn-key customized managed account platform solution dedicated to investor
  • Complete pre-boarding and on-boarding
    • Analyze appropriate platform structure: cross margined / ring-fenced / hybrid
    • Create legal documents for fund formation
    • Manage service providers selection process
    • Negotiate:
      • Prime brokerage agreements
      • ISDA agreements
      • Administrator agreements
      • Director services agreements
      • Custody bank terms
      • Hedge fund fee structures
      • Investment management agreements
    • Integrate technology between managers, service providers, and Sigma.
  • Monitor operations utilizing proprietary technology

STRUCTURAL ALPHA

  • Portfolio structuring and deployment
  • Analyze, create, and implement innovative hedge fund fee structures
    • Fee modeling and validation
      • Risk/reward Monte Carlo analysis
    • Incentive structure alignment
    • Asymptotic analysis of hedge funds’ compensation in dynamic “first-loss” fee structures

INVESTMENT SERVICES

Customized services to meet client needs:

  • Portfolio construction
  • Elite quant group with the mathematical expertise that gives its clients a competitive edge in extracting alpha from investments
  • Extensive experience in operational and investment due diligence and hedge fund origination
  • Strong understanding of different hedge fund trading strategies
  • Impressive global network of hedge fund managers and industry experts such as institutional investors, private proprietary traders and service providers, as well as academic scholars

RISK MANAGEMENT

Real time risk analysis & research that includes:

  • Real time portfolio monitoring
  • Hedge fund style drift
  • Risk/correlation analysis of observed market anomalies using principal and copula component methods
  • Scenario/stress testing including phase-locking
  • Omega analysis
  • Hedge funds' stochastic correlation modeling using multivariate GARCH and Markov Switching methods

LEGAL AND COMPLIANCE

  • Conduct background checks on proposed managers and summarize findings and recommendations to the client
  • Draft and negotiate relevant fund documentation with investors, managers and service providers
  • Communicate with investors and managers on critical issues including pertinent regulations, manager issues, manager obligations and representations, and ongoing strategy
  • Collaborate with Sigma Operations to review and comment on managers compliance programs and internal controls, and work with managers to improve deficient processes or procedures
  • Utilize proprietary compliance system to monitor manager trading for compliance with investment guidelines and applicable laws and regulations
  • Draft, distribute and analyze annual and quarterly manager attestations, which confirm compliance with the investment management agreement and applicable regulatory rules and regulations
  • Expertise in SEC and CFTC rules and regulations, including, for example, short-selling and aggregation rules and position limits