Tradelegs, the leader in derivatives strategy optimization, today announced the release of Version 3.0 – their third major release since launching the Derivatives Strategist software. Included in this release is the all-new Portfolio Hedging platform that empowers investors and portfolio managers to structure efficient hedges that maximize risk protection while maintaining, and in some cases enhancing, performance. This release also commences support of options on indices, starting with S&P 500® Index (SPX) options.
Tradelegs analyzes the client’s portfolio to identify the preferred hedging instrument that will provide the best tracking to their portfolio. Tradelegs’ powerful patent-pending technology is then deployed to structure the optimal strategy that meets or exceeds the user’s hedging criteria while maximizing upside profitability. Clients can subscribe directly to the software or access the technology through a team of expert advisors.
Because options hedging is explicitly linked to an underlier it can provide a more reliable hedge than portfolio diversification, which depends on correlation analysis and does not always provide protection in a major dislocation. Additionally, option hedges can provide asymmetrical payouts that allow you to profit more in favorable movements while protecting against adverse movements.
“Tradelegs Portfolio Hedging allows the client precise control over hedging scope and hedging costs while maintaining significant portfolio returns should the market move favorably” said Gideon Agar, CEO and Co-Founder of Tradelegs. “We are very excited by the market’s positive response to Tradelegs Portfolio Hedging and see huge potential to change the way people invest, hedge and use options.”
Tradelegs is in talks with several retail brokers about automating portfolio hedges or ‘Robo-Hedging’. “We see ‘Robo-Hedging’, which can take any arbitrary portfolio and automatically create an efficient hedge, as the next logical step and a fundamental component of the next generation of retail portfolio management.” said Gideon Agar.
