In addition to the range of investments provided through Watts Capital's open architecture investment platform, Watts Capital offers two proprietary investment strategies to its wealth management clients, as well as family offices and institutions.
[slide-right]Watts-Preston Disruptive Stock Strategy
The Watts-Preston Disruptive Stock Strategy identifies and invests in stocks of companies expected to disrupt an industry over the coming 5 years. The portfolio aims to hold 20-25 stocks. It establishes, maintains and exit positions based on a combination of fundamental and technical factors. The return target of the fund is to outpace the NASDAQ Composite Index.[/slide-right]
[slide-right]Watts Tactical Yield Strategy
The Watts Tactical Yield Strategy is a systematic strategy to establish long or neutral positions in a group of selected yield-oriented securities, bases on the signals from a quantitative model that analyzes macroeconomic data and capital markets data. The goal of the model is to establish long positions when yield oriented securities are increasing in price, and establish neutral positions when yield oriented securities are declining. The Watts Tactical Yield Strategy aims to outperform the ETF iShares iBoxx $ High Yield Corporate Bond ETF (symbol HYG).[/slide-right]
[slide-right]Watts Tactical Equity Strategy
The Watts Tactical Equity Strategy encompasses two strategies. The first, Tactical Equity I is a systematic strategy to establish long or neutral positions in securities tracking the Nasdaq 100 index. The second, more aggressive strategy, Tactical Equity II, is a systematic strategy to establish long or short positions in securities tracking the Nasdaq 100 index. The strategy establishes positions based on signals from a quantitative model that analyzes macroeconomic data and capital markets data. The goal of the model is to establish long positions when the Nasdaq 100 is increasing in price, and establish neutral or short positions when the Nasdaq 100 is declining. The Watts Tactical Equity Strategy aims to outperform the PowerShares QQQ ETF (symbol QQQ).[/slide-right]
[slide-right]Radius Growth Equity Fund
Watts Capital is the investment manager for the Radius Growth Equity Fund. Radius makes growth capital investments in companies primarily in three sectors:
TMT (telecom, media, and technology)
Satellites and space
Sustainable technologies, particularly those associated with Food, Agriculture and Renewable Energy.
Additionally, the fund has the flexibility to make opportunistic investments outside these sectors.
The fund focuses on companies that are EBITDA positive or will become EBITDA positive with the investment round from Radius. Radius participates primarily in investment rounds of $1 to $5 million, an investment size that is underserved by the venture capital and private equity communities.[/slide-right]