Hedge funds provide an alternative asset class in a traditional portfolio to help reduce overall volatility while increasing diversification, all with a typically lower correlation to the market movements of traditional stocks and bonds. Each hedge fund offers a distinct strategy to seek risk- adjusted returns in any market environment.
Hedge funds offer investment flexibility through the use of trading strategies such as short selling, options and other derivative instruments, as well as hedging techniques and the use of leverage.
Generally accessible to only institutional or sophisticated investors, Renascence provides access to some of the most innovative and established asset managers through alternative vehicles for our private clientele, all regularly monitored and scrutinized.
We can provide access to alpha strategies with the goal of providing diversification and to complement traditional assets in an investor’s portfolio. This is combined with a commitment to transparency, liquidity and risk management.
Renascence offers bespoke structured products to provide clients with monthly, quarterly or yearly income alongside full or partial protection of capital. These certificates can be custom-made based on client preferences, objectives and risk profiles.
A structured note is a debt security issued by financial institutions; its return is based on equity indexes, a single equity, a basket of equities, interest rates, commodities or foreign currencies. The return on a structured note is linked to the performance of an underlying asset, group of assets or index.
All structured notes have two underlying pieces: a bond component and a derivative component. The bond portion of the note takes up most of the investment and provides principal protection. The rest of the investment not allocated to the bond is used to purchase a derivative product and provides upside potential to investors. The derivative portion is used to provide exposure to any asset class.
A well-diversified portfolio will benefit highly from the introduction of structured products as they can add significant value when they fit within the overall strategy of the investor. Additionally, these products can also work to enable access to different assets classes in private client portfolios.