New equity fund addresses hidden risk

TORONTO, March 01, 2022 (GLOBE NEWSWIRE) -- True Exposure Investments, Inc. launched TruX Exogenous Risk Pool (TERP), a North American equity fund that seeks to defend capital in market shocks and downturns, and to produce equity returns during normal periods.

"The investment industry relies on past volatility as a sign of risk, but key risks do not always appear in track records. Examples include hidden risk such as illiquidity or government policy changes; timing risk when something normally manageable occurs at the worst time; and systemic risk where one event triggers cascading failures," said Jim Fraser, President of True Exposure Investments.

The portfolio manager, Inukshuk Capital Management, follows an all-weather approach combining three strategies: the Behavioural Strategy and Specialty Assets offset losses during down-markets, while the Tactical Equity enhances returns during normal times. These are implemented using eight well-known ETFs.

Historically, exogenous shocks include banking contagions, political unrest, energy or food shortages, serious pandemics and acts of terrorism. These days, even cyber-attacks on infrastructure, such as hospitals and grids, are possible.

Investors sense these risks and wonder how their portfolios will perform in periods of financial and personal stress. Yet, relying solely on diversification for protection is a mistake if correlations rise, as they often do.

TERP is the alternative being low to medium risk, priced daily, and with a management fee of 0.85%.

About True Exposure Investments, Inc.

TruX was founded to solve risks that are not fully addressed by insurance, investment guarantees, or asset diversification.

For further information, please contact: 

True Exposure Investments, Inc. 
Toronto Exchange Tower
130 King Street West
Suite 1800
Toronto, Ontario, M5X 1E3
647-938-7171
[email protected]