EDEN takes inspiration from the All Weather strategy due to its resilient structure in every macro scenario and its long-term maximised risk-adjusted returns:
EDEN Fund’s investment strategy was developed from the All Weather Portfolio as it is one of the most successful long-term strategies in terms of risk-adjusted returns. This strategy exploits a well-diversified multi-asset allocation that allows to have a reduced volatility, low drawdowns, and still deliver efficient returns in every macroeconomic condition identified as a function of two main factors: Economic Growth and Inflation.
Even though the All Weather is a passive strategy, at EDEN we decided to provide additional value through an active management of the Equity component in order to capture a positive alpha and provide excess returns compared to the moderate expected return of the traditional strategy.
EDEN’s goal is to overperform the S&P 500 index in terms of risk-adjusted return. The annualised Sharpe Ratio will be used as the main key metric in order to measure the quality of the fund and its performance against its benchmark. Such decision takes into consideration the importance of an effective risk management for our donors.
With 28% cash to be deployed by Stocks (8%) and Macro (20%), which we expect to inject in February 2023 as we look for new investment opportunities.