Our Drawdown Control Solution relies on a proprietary technology called DARM. It dynamically allocates capital between the asset classes the investors wish to be exposed to while limiting the downside risk to a level that is pre-defined.
DARM allows to take into account and manage efficiently investors’ issues (capital preservation, regulation, etc…) by redefining risk with their particular constraints (going further than maximum volatility, VaR or Value at Risk, etc…).
The DARM technology makes it possible to have an asset allocation which varies according to market changes, current performance or loss achieved by investors, and their room for manoeuvre.
Asset evolutions with the DARM solution: Capital protection
The DARM approach allows to be protected from downside risks. This is achieved exclusively through risk management rules (wealth protection) and monthly dynamic allocation between the core and the satellites.
DARM comparison with traditional approaches
Read more about Drawdown Control with our Risk Letter The Drawdown: From a risk measure to an asset allocation strategy