DuPont Capital focuses on exploiting asset class specific risk premia they have identified though their differentiated research and insights. Within Merger Arbitrage, the firms finds that traditional market participants focus on individual deal risk in M&A transactions, underestimating the consistency and annualized return profile of a diversified portfolio of definitive M&A deals.
DuPont Capital seeks to build a portfolio of pending mergers that will generate a stable and consistent source of absolute return with low volatility and minimal correlation to broader equity and fixed income markets. The team follows a rigorous research process to identify a diversified set of global merger arbitrage opportunities with a specific focus on definitive transactions.
June 1, 2015
March 1, 2020
Author: Harris Arch, CFA, Portfolio Manager, Merger Arbitrage & Senior Analyst, Global Equities and Dan Moore, CFA, Portfolio Manager, Merger Arbitrage, and Senior Credit Analyst
Utilizing proper risk management, Special Purpose Acquisition Corporations (SPACs) can provide an attractive, asymmetric return profile that can complement arbitrage strategies and add to portfolio performance....Download PDF