Windham began managing currencies for institutional clients in 1989. Today, in collaboration with State Street Corporation, we jointly manage currencies for clients in Australia, Belgium, Canada, Germany, the Netherlands, New Zealand, Hong Kong, Switzerland, the U.K. and the U.S. Our currency management product can be customized to meet the specific investment objectives of each client. Used as a hedging strategy, it controls the risk associated with a portfolio's exposure to foreign assets. We also actively manage currencies to enhance returns.
Our active management strategies are designed to capture alpha in the following ways:
| CARRY: | optimally exploit the bias in forward rates by overweighting discount currencies and underweighting premium currencies |
| TREND: | exploit non-randomness in currency markets by increasing exposure to appreciating currencies and decreasing exposure to depreciating currencies |
| TURBULENCE: | exploit changes in risk aversion by applying a proprietary measure of market turbulence to forecast regime shifts and scale relative exposure to alpha sources |
Our currency strategies are only available to clients that meet minimum investment and total capital requirements.
Please contact us for more information.