An Alternative Approach
Whilst long-only, traditional investment management seeks to produce relative returns in financial markets by outperforming a benchmark or index, alternative investments aim to produce absolute or positive returns in all market conditions. Alternative investment strategies are able to profit from both rising and falling markets and can be applied across a wide range of financial markets.
We trade and invest in global Financial Futures and Foreign Exchange markets. In these dynamic, higher risk investment environments, higher returns are available but the same can be said about exposure to similar losses. Therefore, choosing a professional firm to manage your financial investment in Financial Futures and Foreign Exchange (Forex) may be a more judicious way to gain exposure.
Our intra-day trading and investment strategy
Each day our trading team receives the proprietary PIA-first market research and trading signals covering the instruments we trade – financial futures and foreign exchange. This valuable information is acted upon according to the strict investment management rules that form the proprietary intraday trading strategy formulated by PIA firstcapital. Profits and losses arising from the day’s trading activity are allocated to your managed funds account so that you are able to see trading results daily. In addition, we provide monthly statements which are reconciled to your managed funds account and show the deduction of applicable costs and fees.
Use of Leverage
Futures are traded on a margined basis which creates leverage to amplify trading results. Leverage is also applied to our foreign exchange trading to magnify small market movements. PIA firstcapital applies leverage of up to 10 times to funds applied to foreign exchange trading.
Real time trade management
The progress of each live trade is monitored in real-time so that the risk of loss arising from any trade can be controlled at all times according to our investment risk management policy. Each live trade has a stop loss order attached which will automatically close out trades that are unsuccessful and so limit the daily risk to your trading account.
Whilst our traders are vigilant with regard to potential losses, they are active in maximizing the profits in any one trade. Trading positions are entered and exited conservatively to enhance the risk to return ratio. See our latest factsheets for an insight into our investment performance.
Limited number of trades
Typically no more than one trade in each financial instrument is made per day so that we do not chase the market to make profits. On average, 90% of trades are closed within 4 hours of being opened so your market exposure is limited in this way. All positions are closed out before markets close.
No overnight risk
At the end of each trading day, usually 16:00pm, all trades are closed and resultant profits and losses are allocated to client accounts. All managed accounts remain in cash overnight and no further trades are conducted until the following trading day. In current volatile markets, there is substantial overnight risk which we do not feel obliged to take. Trading is conducted daily Tuesday to Friday.
Your investment funds are placed in a managed account at an FSA regulated broker. A managed account is a trading account which contains a portfolio of securities that you directly own, but have chosen to be traded by a professional (us) on your behalf.
Benefits of a managed account include:
•only the owner of the account (you) can deposit and withdraw investment funds at any time (the investment manager has no say over when funds are deposited or withdrawn)
•the owner has real time access to their account and can view all trading activity taking place therein
•the owner can close the account at the end of any trading week
•the owner can revoke the right of the investment manager to trade the account
•the investment manager appointed to the managed account can only apply the agreed trading strategy to funds in the account
•funds in the account are held on a segregated basis. This protects your funds in the event the appointed brokers become insolvent.
Our relationship with you is guided by a code of conduct which includes transparency, fairness and a high level of integrity. We believe that managed accounts are the best way to ensure that you are able to see how we manage and protect your money at all times.
