Park Alpha

Park Alpha is a global full-service consulting firm providing a broad range of services to: institutional investors, governments, investment managers, and businesses.

Each client relationship is forged and maintained as a long-term commitment to provide effective solutions for our clients.  Being proactive, understanding our client’s needs, and delivering superior performance is our hallmark.

Our recommendations and reports are client-specific, individually tailored, comprehensive, and understandable.  We utilize the latest technologies, industry networks, and investment driven research to deliver our clients top-tiered solutions.  We collaborate in a collegiate fashion and are constantly in search of the newest trends and future sources of alpha.

We are the consulting arm of the Sovereign Wealth Fund Institute, Inc., a privately held company.

Portable Alpha

Institutional investors have recently been rethinking their quest for alpha. The thirst for alpha has been hampered by the academic classical asset allocation model. Investors who believe in a portable alpha, truly believe that

A portable alpha strategy is a beta neutral portfolio that is implemented through an overlay or by strategic asset allocation. Within strategic asset allocation, a plan can have: 1) an outright allocation to portable alpha; 2) capital commitment to portable alpha strategies while using futures or swaps to maintain the existing overall asset allocation.  Elimination of the market risk can be accomplished by means of short selling and derivatives such as futures, swaps, and options.  Portable Alpha implies that the extra returns (alpha) can be separated from the changes of the market by hedging the market exposure of the portfolio. Portable alpha refers to the process of separating the alpha from the beta and then applying it to other portfolios.

Email us at contact@parkalpha, to download the white paper

We work with clients to develop investment objectives that reflect their risk tolerance and recognize their liquidity needs while providing for the level of asset class diversification needed to meet their investment goals.

Since our beginning, we have emphasized the importance of asset allocation, which is the principal component of an investment policy. We routinely prepare investment policy statements for our clients. Our goal is that these documents provide a clear and unambiguous blueprint to govern the organization’s investments.

Our asset allocation process begins with a complete survey of the organization’s existing objectives in order to identify critical policy decisions affecting the plan. After gaining a clear understanding of the issues, we work with the organization’s staff to design and implement an investment policy to maximize the long-term objectives of the organization. Based on the results of this review, we recommend an overall risk posture, including specific strategic asset allocation targets and allowable ranges around these targets. The goal is to provide a suitable combination of long-term return expectation, risk control, inflation protection, liquidity and flexibility. We address the question of whether there are asset classes not present in the investment program that should be considered for inclusion.