Decades of market experience have taught us that the market is a living, breathing complex system that cannot be solved. It can be observed, even mildly forecasted, but finding a perfect, formulaic solution is impossible - much like the eponymous Three Body Problem.

As investors, our goal is to deliver consistent, positive investment returns through market cycles, compounding our capital while avoiding significant drawdowns.

Ideology and dogmatism have no place in these markets - instead, being style agnostic maximises our ability to deliver on our aims.

The market is as human as any of us, guided by the narratives that dominate its psyche.

By understanding the dominant narratives at any given time, evidenced by price action in the market, we can better observe how the collective intelligence of the market is interpreting its changing reality, and how it may continue to behave.

Aligned interests from day one.

Our message is consistent and simple: we manage our investors’ capital alongside our own, as if it were our own.

A solid alignment of interests has been our guiding principle from the first day we started our business, and continues to be so.

Above all else, we have invested substantially all of our personal net worth into our funds and our business.

To that end, style, ideology and ego have no role in our process. We change our minds when the market evolves, and focus on the singular goal we share with our investors: delivering returns and protecting capital.

Our flagship vehicle

Established in April 2020, the Three Body Fund is our first investment vehicle.

Its mandate is simple: deliver positive absolute, low-teens average annual net returns over the market cycle, with limited drawdowns.

Risk management with respect to returns is paramount. In the good times, we aim to capitalise on the opportunities presented to us; in the bad times, we aim to preserve capital and hold on to our hard-earned gains.

The Three Body Fund invests predominantly in listed equities, taking both long and short positions in global equities, with a slight preference for emerging market instruments - a testament to our history as EM managers.

The book is actively traded, with net exposures varying widely in response to market conditions. Gross exposure and leverage are typically kept low by running a concentrated book with typically fewer than 20 open positions at any given time.

This discipline forces us to focus on only deploying capital in positions that are delivering alpha - both long and short, while pruning idle risk that is underperforming the book to make room for new positions, removing the need for large gross exposures.