Investment Philosophy
Where is the market wrong?
The market is not perfectly efficient. Price is often driven by positioning before fundamentals — and understanding that mechanical layer is a structural edge unavailable through traditional analysis alone.
Before an asset trades on what it is worth, it trades on who must buy it, who must sell it, and at what price they are forced to act.
Dealer hedging leans on price. Options expirations pin it. Liquidity decides how far it can travel, and the macro regime decides which direction is crowded. These forces are observable, measurable, and persistent — yet most market participants trade as if they do not exist.
M’Squared Capital combines global macro, derivatives analysis, market structure, and fundamental research into one framework. Each discipline answers a different question; a position is taken only when the answers agree.
Dealer Gamma
Where hedging flows must lean on price.
Options Flows
What real money is paying to believe.
Volatility
The market’s own estimate of its uncertainty.
Liquidity
The depth beneath price — and when it vanishes.
Macro Cycles
Policy, credit, and growth in rotation.
Institutional Positioning
Where the crowd is — and where it is trapped.
Core Strategies
Five disciplines. One framework.
01
Global Macro
Opportunities created by interest rates, inflation, monetary policy, geopolitical events, currencies, commodities, and the movement of capital across borders.
02
Derivatives
Options market structure, dealer gamma, the volatility surface, skew, and positioning — read as a map of where the market is forced to act.
03
Market Structure
Liquidity, order flow, dealer hedging, market breadth, and positioning. The mechanics beneath price, studied continuously.
04
Fundamental Research
Long-term company analysis — business quality, competitive advantage, valuation — always placed within its macro context.
05
Risk Management
Capital preservation is the first priority. Every position carries a predefined downside before it carries a thesis.
Investment Process
Conviction is manufactured, not felt.
Every allocation passes through the same five gates, in the same order. No step is optional; no step is rushed.
01
Macro Analysis
Every position begins with the macro regime — where policy, liquidity, and the cycle stand, and where they are likely to turn.
- Economic cycles
- Federal Reserve
- Central banks
- Inflation
- Rates
- Employment
- Liquidity
02
Market Structure
We map how the market is positioned — and therefore how it is forced to behave — before we form a view on where it should go.
- Dealer gamma
- Options positioning
- Open interest
- Dealer hedging
- Volatility
03
Fundamental Research
Structural edge is paired with underlying quality. We underwrite the business, not the ticker.
- Business quality
- Competitive advantages
- Valuation
- Growth
- Management
04
Execution
Expression matters as much as thesis. Sizing, structure, and entry are engineered so that being early is survivable.
- Position sizing
- Risk budgeting
- Trade construction
05
Monitoring
Positions are re-underwritten continuously. When the reason for owning something is gone, so is the position.
- Continuous evaluation
- Risk control
- Exit discipline
“Capital preservation is the first priority. Every position has a predefined downside.”
See the Portfolio