Our Approach to Systematic Investing
ABX Capital Partners Asset Management emphasizes a systematic, research-driven framework. We seek to translate hypotheses about market behavior into testable, rules-based strategies, with risk management integrated throughout the process.
Idea Generation & Research
Research at ABX Capital Partners begins with clearly articulated questions, not with data mining. We look for patterns that are intuitive, economically motivated, and grounded in observable dynamics such as liquidity, volatility, or structural flows.
Candidate signals are evaluated using multiple datasets where available, and stress-tested across different regimes, parameter choices, and transaction cost assumptions. The goal is not to fit the past, but to understand how a signal behaves under a range of plausible conditions.
Portfolio Construction
Portfolio construction is guided by risk constraints, diversification targets, and liquidity considerations. Position sizing and rebalancing are shaped by practical implementation concerns, including execution costs and the potential impact of extreme market environments.
Risk Management
Risk management at ABX Capital Partners Asset Management is not limited to a single metric. We monitor volatility, drawdowns, exposures, and scenario outcomes to form a more complete view of portfolio behavior. Our objective is to maintain alignment between the portfolio profile and the risk tolerance agreed upon with investors.
Use of Technology & AI
Technology, including elements of machine learning and AI, is used as a tool to support, not replace, human judgment. We focus on applications that enhance data processing, model testing, and monitoring, while keeping transparency and interpretability in mind. For more on how we think about AI in quantitative investing, see our Medium articles.