BEACH HORIZON is a systematic, trend following managed futures program that trades a global portfolio of commodity, financial and foreign exchange markets.The programme is directional in nature and seeks to take advantage of upward and downward trending markets. The portfolio of markets traded is highly diversified with over 90 markets in 10 sectors. The portfolio has a relatively higher exposure to commodities than most managed futures/CTA strategies. This is important to investors seeking to increase their exposure to commodities due to the low correlation this sector has to the financial sectors. This is a result of the strategy design goal to be highly diversified and avoid over-concentration of risk in any one sector.
Beach Horizon employs a rigorous, systematic trading model that is implemented using a fully automated state-of-the-art computer system. Risk management controls are applied by the system hundreds of times a day to constantly adjust to the targeted level risk. The founders have an established fund management pedigree with a long track record in trading futures and forward markets. The Horizon Programme was developed at Beach Capital Management (BCM). BCM ran a managed futures fund with a successful track record spanning 17 years with $1.4billion AUM at its peak in April 2005 which put it in the top 10 of funds in terms of size. The BCM fund produced an average annual return of over 19% per annum from 1989 to 2006 and closed on an all time high. Beach Horizon continues to build on the experience and established infrastructure developed at BCM.