Equipped with a Ph.D. in String Theory and exceptional practical experience in Game Theory as a poker pro and Swedish Poker Champion, Magnus Holm set out in 2017 to apply Game Theory to stocks and digital assets through volatility harvesting. Trading real money, his strategy was up 4000% in 2017 – a strong confirmation that the high volatility and low correlation of digital assets makes them ideal for volatility harvesting.
He reached out to his friend Niclas Sandstrom – also with a Ph.D. in Theoretical Physics and with a distinguished career in finance and hedge funds. Backed by the eminent Norwegian investor Frode Foss-Skiftesvik, the two set up Hilbert Group in 2018 which since 2021 is listed on the Nasdaq First North Growth Market (ticker symbol HILB B).
The third key man is Hans-Peter Bermin – Ph.D. in Math Finance – who joined Hilbert in 2019. He is the former head of rates modelling at JP Morgan and Morgan Stanley and has 20 years of Investment Banking experience in Rates, FX and Equities. Hans-Peter is an active publisher and referee of scientific papers in Mathematical Finance. He authored his last four papers with Magnus Holm on Kelly Trading and Option Pricing Leverage, and Risk. Due to their deep theoretical research, the Hilbert team believe they have perhaps a more solid foundation to run sophisticated digital asset strategies than say the average hedge fund.
Fireside Chat: Advanced Crypto Trading Strategies
Register here for an interactive session with all Niclas, Magnus and Hans-Peter on Advanced Crypto Trading Strategies on July 21 11 am ET: https://www.opalesque.com/webinar/#uw2
Hilbert's flagship strategy has a five-year real money track record with a total annualised return of 110%. Since inception, it has outperformed the S&P 500 around 43 times, and also Bitcoin. The algorithmic strategy trades a diversified (30+) set of Altcoins with the aim to maximize absolute returns across the cycle – bull market plus bear market. The strategy is long-biased and does not utilise leverage.
In December 2021, Hilbert also launched an AI-driven systematic traded trend following strategy that predominantly trades the most liquid and deepest markets (both spot and futures), specifically Bitcoin and Ethereum, with the objective to outperform Bitcoin on a risk-adjusted basis. It is primarily long-only and adjusts the risk-exposure according to the strength of the trend following signal. Risk-off is achieved by rotating part or all of the exposure into Stablecoins.
In this video, Hilbert also shares essential learnings & take aways from five years trading crypto. In addition, you will learn:
- Hilbert's 5 year track of exploiting volatility in digital assets
- What is “Volatility Harvesting”?
- How Hilbert’s academical research helps develop unique Alpha strategies
- What is a Game Theory Optimal Solution and how to make extra gains from it
- Hilbert’s competitive edges in a sea of 1000 crypto hedge funds. How do Hilbert’s strategies perform in different market environments? How Hilbert’s strategies fit into larger portfolios
- The “institutionalization” of crypto is real, and what that means for investors
- How to check the structural and operational quality of a crypto hedge fund
- The role of Hilbert’s academical research
- Which changes are happening in the crypto markets right now and how do they affect traders and investors?
Hilbert Group started out as an asset manager back in late 2018 under the name Hilbert Capital and was co-founded by the current CEO Niclas Sandström and CIO Magnus Holm. The name change reflects the firm’s expansion from being an asset manager to a full-fledged investment firm in the digital asset space, whereof asset management is one component. With Hilbert in the company name the team pays homage to one of the greatest mathematicians of all time, David Hilbert, who discovered/invented the Hilbert Space – a mathematical construct in functional analysis which is of central importance to Quantum Mechanics.
Hilbert Group is listed on the Nasdaq First North Growth Market (ticker symbol HILB B) and operates different verticals: Asset Management, VC-style Equity Investments, and Data & Analytics.
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Equipped with a Ph.D. in String Theory and exceptional practical experience in Game Theory as a poker pro and Swedish Poker Champion, Magnus Holm set out in 2017 to apply Game Theory to stocks and digital assets through volatility harvesting. Trading real money, his strategy was up 4000% in 2017 – a strong confirmation that the high volatility and low correlation of digital assets makes them ideal for volatility harvesting.
He reached out to his friend Niclas Sandstrom – also with a Ph.D. in Theoretical Physics and with ...more
