investment-strategy

Overview

Golden Point Capital’s trading strategy is entirely systematic, utilizing mathematical models to enhance all aspects of the trading model. Golden Point Capital takes pride in the research and ingenuity it has used in developing all aspects of its proprietary trend trading strategy.


Term

Golden Point Capital’s strategy follows a long-term trend-following approach, minimizing portfolio turnover and therefore providing reduced trading and brokerage fees. Golden Point Capital takes an approach that is not reliant on loopholes, expensive technology or government regulations. Markets have and will continue to trend for years to come.


Risk Management

Position sizing is mathematically optimized to present a standard sized risk on each position entered. Golden Point Capital closely tracks correlations across markets to prevent overexposure to any single market factor and keep correlations across products to an acceptable level.


Volatility Adjustment

Markets are ever-changing; as the volatility of markets changes, corresponding changes to the portfolio must be made. Golden Point Capital tracks volatility using specifically designed indicators and statistical models to take larger risks in markets with favorable volatility while limiting exposure to products it deems to have higher downside volatility.


Rolling

Futures contracts expire at different intervals, thus maintaining a position in the proper contracts requires constant monitoring. Golden Point Capital looks for the most opportune times to roll such contracts in order to decrease exposure to calendar risk while maintaining exposure in the markets it intends to exploit for profit.


Long/Short

Golden Point Capital tracks futures in an attempt to profit on both rises in futures prices as well as falls in futures prices. Golden Point Capital's long and short portfolio does increase the diversification of returns while reducing exposure to the overall market. Trading both long and short does not eliminate the risk of loss.


Mechanism

Golden Point Capital’s long-term strategy is not based on discretion or human emotion. All trading is done from a strict mathematical approach with hard-coded rules that have been optimized for a long-term approach to trading futures markets.