Background.

Darling Macro was set up by Greg Burke and Mark Beardow to create investments that recognise that investor behaviour and human emotion have far too much influence over markets in the short to medium term. Monetising these inefficiencies allows Darling Macro to deliver superior risk adjusted returns with far lower expected large losses compared with traditional equity markets. 

 

Previously, Mark was the Chief Investment Officer of Global Equities and Fixed Income at AMP Capital, and  accountable for $80bn of institutional and retail investments. Mark was also the Chief Investment Officer for AMP Life, and a member of the AMP Investment Committee. Prior to 19 years at AMP Capital, Mark held positions at J.P.Morgan in Sydney, and UBS in London.

Over his 16 year career at Deutsche Bank in London and Sydney, Greg tailored solutions for corporate and institutional clients as a senior trader in vanilla and exotic derivatives. More recently, at Westpac Institutional bank, Greg ran a global derivatives trading business, designed collateral portfolio pricing models and managed a quantitative risk algorithm.

The investment strategy was first conceived during the financial crisis period in 2008 and has been tested and enhanced ever since.

​Darling Macro has managed Wholesale investor capital, in a series of managed accounts, since July 2017. 

​The Darling Macro Fund was launched in April 2019. 

Investment strategy.

The principals recognised over their 25 year careers in markets that these behavioural risk factors exist because of the imperfect and not universally rational way investors:

  • Evaluate macroeconomic risk factors within current prices; 

  • React to new information; and 

  • Measure and tolerate risk. 

 

These behavioral risk factors are more reliable predictors of asset prices in the short to medium term than merely analysing macroeconomic factors. 

The strategy involves a systematic assessment, of the risk and return potential of more than 30 global markets, which rigorously measures the following:

 

Systematic and rigorous assessment of the risk and return potential of over 30 global markets, measuring:

  • Returns: how strong are performance trends

  • Volatility: how much risk is present

  • Correlation: how much diversification is on offer

  • Time: how stable are the measures of risk & performance

 

The strategy systematically selects a blend of assets and optimises the portfolio based on risk to achieve relative stability of allocations.

 

Transaction costs are minimised through the use of highly liquid passive instruments.

 

Risk is designed to be controlled throughout the process and the strategy is rebalanced regularly based on changes in the assessed risk and return.