Alternative Investment Programs
As part of Granite Capital’s ongoing commitment to continually improve, evolve and enhance our Investment Program and the services we offer, we are always exploring and monitoring other Managed Investment Programs to see if their services and/or programs could be used to enhance our Program.
Below is a list of Investment Programs that we have studied and reviewed, but have decided not to engage with at this time.
Mutiny Fund is a registered investment advisor that offers a Long Volatility Program and a Long Volatility plus Stock Program and they utilize several different sub-advisors to manage these Programs. Their goal is to diversify risk by employing a variety of strategies within each Program.
While we feel confident that Mutiny Fund and their sub-advisors are very capable and professional investment advisors, we have decided not to engage with Mutiny at this time for the following reasons:
Lack of trading transparency (we are unable to watch and monitor their trades in real time or even know what positions they are holding).
Lack of performance updates (Mutiny only provides performance updates on a monthly basis, so there is no way to know how things are going until you get your monthly statement).
Client funds with Mutiny are deposited into an "investment pool". While this is a perfectly legitimate and common arrangement, Granite prefers for our members to retain 100% custody of their funds. At Granite, your funds are always held in your own account that is 100% in your name and under your control. The only control Granite has over your account is the ability to place trades, that's it.
Volatility Trading Solutions (VTS) is a signal service owned and operated by Brent Osachoff. Brent is an experienced trader and provides excellent and detailed descriptions of the strategies he has developed and the signal service he provides.
VTS provides daily trade signals on 5 different strategies, with each strategy meant to provide a certain level of portfolio diversification.
After careful review of each of the Strategies, we decided not to engage with VTS at this time because we couldn't identify a specific area where the VTS Program would provide a significant and meaningful enhancement to the existing Granite Program.
Invest In Vol (IIV) is a registered investment advisor that developed and manages a trade program called "Smart Vol" .
The Smart Vol program primarily trades volatility based options and is a long/short volatility strategy (meaning it can profit from volatility going up or down).
Invest in Vol actively manages the Smart Vol program and can/will shift market exposure on a daily basis as needed. The goal is to benefit from periods of both calm and crisis.
Granite Capital utilized the services of Invest In Vol as a supplemental hedging strategy from mid 2021 to early 2022. In March 2022, when Granite fully implemented its own supplemental hedging strategies (i.e. Granite's LPTA and LP Factory), the need for the IIV Program was significantly diminished, so client accounts were transitioned out of IIV's Program and back into Granite's Program.
We will continue to monitor Mutiny, VTS and IIV and perhaps join forces with them at a later date if we feel they can provide a meaningful improvement to a specific aspect of the Granite Program.