Mellon Capital Management today introduced two new strategies that combine equity and fixed-income index components, respectively, with a "portable alpha" element from the firm's proprietary global tactical asset allocation strategy, according to Mike Dunn, a Mellon spokesman. The U.S. Equity Alpha Plus strategy combines the GTAA product, which takes long and short positions in global equity, sovereign bond and currency markets, with exposure to the S&P 500 index. The U.S. Bond Alpha Plus combines the GTAA product with exposure to the Lehman Brothers Aggregate Bond index.
The low correlation of the two strategies' alpha with major markets is attracting interest from institutional investors, Charlie Jacklin, Mellon Capital's president and CEO, said in the release.