SML Capital Fund Strategy

Markets tend to fall at a greater pace than when they rise, and historically, markets have a “take the stairs up, while taking the elevator down” cycle of performance. The SawMill Lane Managed Risk Fund eliminates the challenge of timing the equity markets and the opportunity risk of not having a sustained investment in the markets (missing cyclical bull markets) that is the basis for creating long term capital wealth.

By achieving a 70% correlation to the equity markets when they are up and less than 5% correlation to the equity markets when they are down, the Fund enables investors to take advantage of long term asset appreciation in the equity markets with minimal downside risk.

The fund allows investors to securely maintain a sustained participation in themarkets, profit from bull market cycles, and protect capital from cyclical drawdown’s and large crisis driven market corrections.

SML Capital Portfolio Risk Management
  • Diversified portfolio across a broad spectrum of sectors and company size/market capitalization.
  • A premium is placed on liquid assets and all investments are highly liquid, portfolio and all positions are able to be liquidated quickly.
  • Conservative use of leverage. Use of leverage is limited and used to cover all available investment opportunities. Portfolio margin is managed daily.
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