The team behind Lima Capital LLC have successfully implemented Machine Learning (ML) techniques across a range of investment offerings. ML has proven a strong track record of highly effective decision making in the managed risk space. Due to significant technical complexity, the fast pace of technical innovation, as well as industry conservatism, ML and specifically deep learning is an underexploited approach to dynamically manage risk in investment portfolios. We at Lima Capital LLC believe this investment approach will change the investment management landscape over the long-term.
During periods of high volatility, market exposures are explicitly constrained to guard against ML model misclassification and, therefore, limit downside risk.
Past performance clearly shows us that the majority of actively managed funds, generally underperform solutions which adopt a passive underlying investment strategy. We at Lima Capital LLC believe that ML managed portfolios, which have passive, underlying constituents will not only provide a substantial cost saving on fees to investors, but over the long-term, outperform their actively managed peers.