Thursday, 23 February 2017
Last updated 14 min ago
Jan 16 2007 | 3:09pm ET
Parker Global Strategies has launched the firm’s first investable foreign exchange index, PGS Alpha Edge. The new index aims to capitalize on the growing demand for alpha generating products that are not correlated to the equity, fixed-income or commodities markets. Target clients for the new product include hedge funds and fund of funds.
"The timing could not be better for this flexible vehicle as it affords FX exposure as a diversifier for a fund-of-funds, as a portable alpha program, or as FX overlay for global portfolios," said Virginia Parker, president and founder of PGS, who will lead the 13-member team in managing the product. "FX managers are under-represented in most investors' overall portfolios, yet there is an increasing realization that FX should be treated as a distinct and separate asset class.”
The new index will be U.S. dollar-, euro- and Japanese yen-denominated. According to the firm, investors are able to invest in the index via a customized swap or direct investment in a fund.
PGS FX Alpha Edge uses the Deutsche Bank FXSelect platform, while PGS applies proprietary quantitative and qualitative analysis in constructing the 16 manager indices, including eight distinct strategies.