Turning FX & Commodities variance into opportunities

Proprietary trading strategies.

Our elite team of quants and traders identify, evaluate, and constantly implement short-dated trading opportunities. We currently run strategies in precious metals and foreign exchange to construct a diversified portfolio of systematic and discretionary positions.

Trading Strategies

Relative value

Our statistical tools allow us to quickly scan asset classes for opportunities by modelling trends and identifying pricing deviations.

Quantitative models

Through machine learning, we process large sets of financial data and decompose pricing based on variational mode.

Behavioural trading

We analyse and measure specific trend, momentum and exhaustion patterns thanks to effective programming.

Thematic

We run scenario analysis and assign probabilities to macro events. We identify skew and take directional discretionary positions.

Risks & Controls

electrum develops and executes systematic and semi-systematic strategies that fit our risk and return characteristics. All trades are entered and exited in strict obedience to our Risk & Investment Policy under the supervision of our Chief Financial Officer and the authority of our Chief Executive Officer.

Portfolio Risk

Our policy defines boundaries of risk tolerance, net open positions, maximum tenor, drawdown, and potential future exposure of our trading books. We periodically stress test our portfolio against historical and specifically designed adverse scenario so that we remain in control of both our portfolio intrinsic risk and counterparty default risk.

Valuation

Our trading books are marked daily by an independent valuation team.

Collateral

We trade on a fully collateralized basis with about ten market counterparties across geographies.

Liquidity

Beyond our minimum liquidity requirements at entity level, we have access to an immediate cash pooling at parent level and the group liquidity position is monitored daily.

Our Publications

Insight July 4, 2024

TRADERS TANGOCommodity traders engage in buying and selling commodities in their simplest form (i.e. physical underlying) or more complex methods through derivatives contracts, sometimes with exotic payoffs. Commodities encompass a […]

Insight June 13, 2024

Nobody’s talking about palladium… having fallen 70% in value since its previous highs above $3000/oz in 2022, the metal is in secular bearish trend and seemingly fell in disinterest. Named […]