Risk Management
Our Approach to Capital Protection
At TradeWell, we believe that managing risk is the most critical component of a successful investment strategy. Returns are a result of opportunity, but capital preservation is a result of discipline. Drawing from 45 years of experience in managing high-stakes industrial projects, we have engineered a multi-layered risk management framework that combines technological precision with constant human oversight.
Key Pillars of Our Risk Framework
AI and Human Synergy:
We combine machine learning, genetic algorithms and advanced optimisation techniques to carefully select a broad range of low-correlation subsystems. This approach refines positions and actively manages risk. Each system operates under the close oversight of our experienced team, bringing together data-driven precision and disciplined human judgment.
Real-Time Monitoring & Controls:
All strategies are monitored in real-time with pre-set alert thresholds and automated stop-out controls. This proactive system is designed to manage market exposure and protect capital.
Sub-System Diversification:
We do not rely on a single monolithic algorithm. Instead, capital is strategically allocated across a range of independent sub-systems, carefully selected and continuously evaluated by AI to ensure diversification and maintain low correlation. This approach enhances stability and strengthens overall risk management.
No High-Risk Strategies:
Our focus is on disciplined, process-driven strategies that are designed for sustainable, long-term performance. Not short-term speculative gains.
Adaptive Strategy Selection:
The market is not static and neither are our strategies. We consider strategy selection to be an ongoing process where we constantly test, monitor and optimize for the best-performing algorithms.
