Terrapin Capital Management is a money management company established to employ investment methods to manage a diversified portfolio of exchange traded funds (ETF) while using conservative option methods to enhance returns and reduce risk and volatility.
At Terrapin Capital we try not to over-complicate things. Routinely over 70% of active fund managers fail to beat their respective benchmarks, according to the annual S&P SPIVA report. So in our managed portfolios we start out with ETFs (exchange traded funds) that essentially replicate various indexes with very low cost. There are ETF’s that track the S & P 500 (SPY), Dow Jones Industrials (DIA), NASDAQ 100 (QQQQ) and many others as well as various sectors and asset classes. These ETFs trade like stocks and importantly for our program, have options. It is the use of these options that really sets us apart from nearly every other money manager. At Terrapin we utilize conservative, time tested strategies to reduce risk and enhance returns in our clients’ portfolios.
We also have an absolute return strategy, called our Market Neutral Strategy, that is designed to produce monthly income regardless of market direction. An allocation to this strategy in all of our managed portfolios adds a piece that has low correlation to other markets, thus reducing risk and enhancing returns.
