Architecture
STRATA uses a core-satellite structure because heterogeneous return sources, measured against one standard, provide a more resilient portfolio. Neither branch is primary by design; they are symmetric in strategic importance.
Core–satellite structure: two equal branches — a systematic core drawn as ruled lines and a discretionary, macro-first satellite drawn as contour lines — each measured on its own return-per-unit-risk rule, converging on one portfolio standard. The Core and Satellite fields link to their sections on the architecture page.
The core branch
A systematic, lower-risk benchmark for the fund. The core framework contains two distinct engines.
- Factor-efficiency engine
- Constructs and sizes a systematic equity portfolio within its assigned risk budget.
- Dispersion signal engine
- Identifies unusual peer-relative behavior and routes potential dislocations to analysts. It does not select trades or size positions; any resulting position is separately reviewed and governed.
The satellite branch
A discretionary, macro-first research branch that carries a higher risk-and-return tolerance. It applies the same return-per-unit-risk objective as the core, but relies on human analysts identifying relative value and fundamental mechanisms.
The unified portfolio
One return-per-unit-risk standard, applied to both branches.
Heterogeneous return sources, measured against one standard, provide a more resilient portfolio.
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