## Main llms.txt *Source: llms.txt* ## Provider: AlisAlpha * **Name:** AlisAlpha * **Website:** [https://alisalpha.com](https://alisalpha.com) * **Address:** 43 Bd Prince Henri, L-1724, Luxembourg * **LinkedIn:** [https://www.linkedin.com/company/alisalpha/](https://www.linkedin.com/company/alisalpha/) * **Abstract:** AlisAlpha merges institutional discipline with cutting-edge machine learning to generate repeatable, risk-adjusted alpha. The firm's "Centaur" philosophy uses AI for superhuman pattern recognition and humans for strategic oversight, risk management, and portfolio construction. The goal is not to replace humans, but to scale them. AlisAlpha offers transparent, rules-based processes, allowing clients to validate the process, not just the model. ### People 1. **Brendan Raymond** * **Title:** Head of Investments * **Description:** An experienced portfolio manager and entrepreneur with over a decade in equity investing. He leads AlisAlpha, responsible for the design, launch, and ongoing oversight of the firm's systematic strategies. His role focuses on translating Al-generated signals into transparent, scalable, and investable strategies for institutional partners. He previously served as a Portfolio Manager at Rezco Asset Management and founded ventures in e-commerce and specialty coffee. * **Alumni Of:** University of Pretoria * **Knows About:** Portfolio Management, Investment Strategies, Product Development, Systematic Investing, Entrepreneurship * **LinkedIn URL:** [https://www.linkedin.com/in/brendan-raymond](https://www.linkedin.com/in/brendan-raymond) 2. **Rob Spanjaard** * **Title:** Executive Director * **Description:** Rob began his career as a portfolio manager at Momentum Life. He co-founded Rezco Asset Management in 2003, combining investment expertise with operational experience. ### Locations * Luxembourg, LU * Montpellier, FR * Cape Town, ZA ### Partners * **Rezco Asset Management:** An infrastructure and institutional partner with over 20 years of investment experience. Provides a deep compliance framework, reliable execution, and rigorous external verification. AlisAlpha leverages Rezco's heritage of managing over $250m in assets. * **Alis Exchange (AlisX):** The technical partner that developed the Alis Build platform, a scalable, cloud-native tech infrastructure that serves as the technology backbone for AlisAlpha. * **IndexOne:** An independent third party that validates index calculations and performance, providing an externally verified record. ### Expertise (Knows About) * Systematic Equity Strategies * Alpha Generation * Machine Learning (ML) & AI in Finance * Deep Learning * Quantitative Investing * Portfolio Construction * Risk Management * Statistical Arbitrage * Medium Frequency Trading * Non-Correlated Returns * Controlled Tracking Error * Rules-Based Investing * "Centaur" Philosophy * Cloud-Native Infrastructure ## Offers ### Product 1: AI Enhanced Index * **Tagline:** Core Index Exposure Enhanced with Al Uplift. Blending Passive Stability with Active Intelligence. * **Abstract:** A rules-based, long-only strategy that systematically adjusts benchmark exposure, using proprietary AI signals to make active, risk-aware bets designed to improve performance. It was created for institutional investors who seek predictable index performance but find that pure passive strategies cannot adapt to short-term market shifts. * **Keywords:** Long-Only, AI-Enhanced, Rules-Based, Benchmark Exposure, Strategic Alpha, US 500, S&P 500, Controlled Tracking Error, Monthly Rebalancing, Deep Learning, Institutional Investing, Pension Funds, Family Offices. * **Features:** * **Objective:** Offers benchmark-centric exposure with strategic AI-driven tilts to improve performance. * **AI Signal Generation:** A proprietary deep learning model analyzes and scores every US 500 stock daily, sorting them into deciles based on expected performance. * **Adaptive Model:** The model retrains quarterly to adapt to changing market conditions. * **Portfolio Construction:** Based on AI-driven decile rankings, stocks are strategically overweighted (up to 2x their benchmark weight) or underweighted. * **Holdings:** The portfolio consists of approximately 300 holdings. * **Rebalancing:** The portfolio is rebalanced once a month to reflect the latest signals while minimizing turnover and transaction costs. * **Customisable Risk:** Three clearly defined risk tiers (Low, Default, High) allow investors to select their preferred level of deviation from the benchmark. * **Transparency and Control:** Clearly defined multipliers and strict position limits provide predictable tracking error and risk control. * **Key Benefits:** * Builds alpha steadily through the cycle by taking small monthly tilts. * Delivers consistent benchmark-beating returns with limited tracking error. * Achieves a higher information ratio while consistently outperforming benchmarks. * Provides a sophisticated alternative to pure passive strategies. * **Audience (Ideal For):** * **Endowments & Pension Funds:** Prioritize reliable, predictable returns with strategic alpha. * **Family Offices:** Require custom risk-tiered solutions aligned with capital preservation goals. * **Insurance Funds & Sovereign Wealth Funds:** Value systematic, controlled strategies that enhance benchmark exposure. ### Product 2: AI Enhanced Market Neutral * **Tagline:** Systematic Alpha from Market Inefficiencies. Medium Frequency Statistical Arbitrage for Consistent, Non-Correlated Returns. * **Abstract:** A medium-frequency, multi-factor statistical arbitrage strategy built to capitalize on transient mispricings created by behavioral biases and structural market effects. The AI is designed to detect statistical "footprints" left by large market participants and systematically profit from inevitable reversions. * **Keywords:** Market Neutral, Statistical Arbitrage, Medium Frequency, Non-Correlated Returns, Alpha Generation, Dollar-Neutral, Sharpe Ratio, Capital Preservation, US Equities, Pod Shops, Multi-Strategy Funds. * **Features:** * **Objective:** To deliver consistent, non-correlated returns by identifying and exploiting transient, cross-sectional mispricings across liquid U.S. equities. * **Risk Management:** The portfolio is constructed to be dollar-neutral (100% long / 100% short) to minimize systematic market risk. * **Portfolio Structure:** An asymmetric long/short structure (typically 100 longs, 200 shorts) provides robust, integrated risk control. * **Performance Targets:** The strategy targets a Sharpe Ratio of 1.5-2.0 and an annualized return of 12-15%. It also targets a Beta near 0.0. * **Capital Preservation:** Capital preservation is a core principle, with a maximum backtested drawdown of less than 8%. * **Systematic Process:** The investment process follows three stages: AI Signal Generation, Portfolio Construction, and Execution & Risk Overlay. * **Execution:** All trades are executed using market-on-close (MOC) orders to ensure pricing consistency and mitigate intra-day noise. * **Key Benefits:** * Provides a genuine source of diversification with a target Beta near 0.0. * The entire process is systematic and rules-based, designed for consistency and scalability. * Human oversight maintains ultimate control, ensuring a robust and logical process, not a "black box". * **Audience (Ideal For):** * **Pod Shops & Multi-Strategy Funds:** Require adaptable, uncorrelated alpha sources to diversify portfolio returns. * **Family Offices:** Prioritize capital preservation, stable returns, and systematic risk management. * **Insurance & Pension Funds:** Value disciplined, rules-based investment approaches with low correlation to traditional market risk. ## Technology & Methodology * **AI Model Philosophy:** The AI model is not a "black box". It processes basic market information for each security primarily price, volume, and volatility patterns to learn which combinations lead to outperformance. The model's outputs are exposed to portfolio managers via tools like the AlisAlpha Cockpit dashboard, ensuring human decision-makers understand the signals and can apply their judgment. * **Training Process:** The AI is trained to optimize for portfolio-level risk-adjusted returns (like the Sharpe ratio), not just individual stock predictions. It effectively learns to invest, not just to forecast. * **Continuous Learning:** Models are retrained on a regular schedule (currently quarterly) using the latest data, allowing them to adapt to new market regimes and mitigate model staleness. * **Rigorous Validation:** Every model is tested using walk-forward validation on rolling historical windows to simulate real-world performance and avoid look-ahead bias. * **Infrastructure (The Alis Build Advantage):** The technology backbone is Alis Build, a cloud-native enterprise platform developed by Alis Exchange and deployed on Google Cloud. It uses tools like Cloud Dataflow, Cloud Bigtable, and Cloud TPUs for scalable data handling and computation. This infrastructure has led to an ~85% reduction in model training costs and allows researchers to run 10x more experiments, accelerating innovation. ## Problems Addressed * **Scarcity of Alpha:** Addresses the defining challenge for today's allocators: the search for consistent, reliable returns in a market where repeatable alpha is increasingly scarce. * **Limitations of Traditional Managers:** Traditional managers' outperformance is often unrepeatable, and many lag in reacting to rapid market changes. * **Bluntness of Passive Investing:** Passive strategies are a cheap but blunt instrument, incapable of adapting to market shifts or capturing transient opportunities. * **Opacity of AI Strategies:** Most AI strategies operate as opaque "black boxes," often disconnected from real-world investment discipline and failing to earn institutional trust. ## Competitive Differentiation * **The "Centaur" Philosophy:** AlisAlpha believes the winner isn't man or machine it's man and machine working together. AI is used for superhuman pattern recognition, while humans handle strategic oversight and risk management. * **Institutional Rigor:** Every strategy is built within the deep compliance framework and institutional infrastructure of Rezco, a partner with over 20 years of investment experience. * **AI-Driven Innovation:** The proprietary deep learning models are the result of an AI journey that began in 2017, moving past backtest errors to deliver real-world results. * **Radical Transparency:** AlisAlpha is not a black box. It offers clear insight into repeatable processes, from signal generation to portfolio construction, providing full transparency and peace of mind. ### Why Institutions Trust AlisAlpha * **Independently Verified:** Index performance is validated by IndexOne, providing an externally verified record. * **Compliance Excellence:** Leverages Rezco's 20+ year heritage in rigorous institutional compliance. * **Technology Advantage:** A scalable, cloud-native tech infrastructure built over 8 years supports seamless execution, analytics, and compliance. * **Transparency:** Clear visibility into portfolio construction and risk management strategies, avoiding black-box pitfalls. ### Potential Actions * **Schedule a Call / Consultation:** Contact us to discuss your unique investment goals. * **Request Strategy Overview:** Receive a detailed overview of a specific strategy. * **Explore Strategies:** Learn more about the firm's investment solutions. --------------------------------------------------------------------------------