Systematic capture of sustainable premiums
Managing the known unknowns
Preparing for the unknown unknowns
Chapados Couture Capital (C3) is an emerging Montreal-based quantitative portfolio manager of factor-based equity strategies and option-based alternative premia strategies.
Find systematic opportunities to earn sustainable return premiums for bearing acceptable and well-quantified investment risks.
The subtleties between the Art and the Science of modelling capital market returns have been a core preoccupation of C3’s co-founders, stemming from a more than decade-old research collaboration. This means a constant desire to learn and improve on the latest quantitative forecasting methodologies, as much as a fascination with small-sample low-frequency scenario analyses.
Time Series Modeling, Econometrics, Portfolio Management, Financial Analysis, Natural Resource Economics
Deep Learning, Time Series Forecasting, Optimal Decision Making, Portfolio Management, Healthcare AI, Enterprise AI
We believe that capital markets represent an ecosystem of competing opportunities to be compensated for bearing a multitude of economic risks. Some are ephemeral; some others are the product of irrational beliefs. We search for those which are economically justified and sustainable.
We believe that the empirical validity of a risk premium must be supported by a theoretical understanding of its economic rationale.
We believe that the information content of most investment edges eventually gets diffused to other market participants via trading interactions so that superior risk-adjusted returns ultimately regress to normal returns. Consequently, the market consensus is typically the best starting point to obtain a long-term summary of the optimal trade-off between investment returns, risks, and implementation costs.