Our priority is to ensure that the fund achieves its investment objectives while managing risk effectively.
To achieve this, we primarily would focus on the following key areas:
Risk identification and assessment:
The first step in managing risk is identifying and assessing the risks associated with the fund's investment strategies. By identifying and assessing risks proactively, we can develop effective risk management strategies that minimize the potential impact of these risks.
Risk monitoring and reporting:
Once risks have been identified and assessed, it is important to monitor these risks continuously and report any potential issues or concerns to senior management. This involves deploying our robust risk monitoring tools and systems that allow us to track risk exposure in real-time and regular reporting to senior management to ensure that they are fully informed of any potential risks.
To manage risk effectively, it is important to have a range of risk mitigation strategies in place. By implementing effective risk mitigation strategies, we can reduce the potential impact of risks on the fund's performance.
As a global hedge fund, it is important to ensure that we are fully compliant with all relevant regulations and laws. This involves working closely with legal, and compliance teams to ensure that we are fully aware of any regulatory requirements, that we have robust systems, processes in place to ensure compliance.
Finally, it is important to have effective crisis management strategies in place to ensure that we respond quickly and effectively to any potential crises or unforeseen events. This involves contingency plans, stress tests, communication protocols, and regular crisis management training exercises to ensure we are fully prepared for potential risks or events.
Despite implementing a strategy that strictly prohibits transactions with negative spreads, thereby reducing the risks associated with our operations, it is crucial to acknowledge the existence of idiosyncratic risks that require thorough consideration. With this in mind, the Risk Management Policy ("the Policy") of Arbtrust Venture ("the Manager") aims to outline the comprehensive methodology, criteria, and parameters utilized to monitor and manage exposure to inherent risk factors in our investments. To achieve this, we closely analyze daily information from the investment vehicles under our management, including limits and volatility of assets concerning exposure to markets. We take into account their relationship with various scenarios and strive to identify potential events that may impact the Fund's results.