The Lionscrest Funds invest exclusively in the investment strategies of Universa Investments LP, an institutional money manager and one of the foremost experts in managing and exploiting tail risk.
 
The funds  provides investors with a choice of two investment strategies:

• A Shares BSPE (tail+equity) - The Universa Black Swan Protected Equity (“BSPE”) is a hedged equity strategy that invests in the US equities market as well as a tail hedge strategy (BSPP) to mitigate extreme downside risk.  The tail hedge strategy attempts to protect the equity portfolio against systemic market shocks and crashes, with the goal to enhance long-term returns whilst significantly lowering risk. The addition of the tail hedge strategy to an equity investment allows for the ability to leverage up to a 120% allocation to equities in order to enhance long-term returns following a market crash whilst maintaining a better risk-adjusted return profile than a typical investment in equities.
• E Shares BSPP (tail-only) - The Universa Black Swan Protection Protocol (“BSPP”) is a highly convex risk mitigation strategy that aims to raise the compound returns of an investor’s entire portfolio by protecting against steep portfolio losses.  The BSPP portfolio consists of primarily long options that are actively managed to maximize convexity – defined by maximizing the payoff in a crash whilst constraining costs in the absence of a crash.  Specifically, the BSPP targets a +20% net payoff on a pre-defined amount of equity risk during a calendar month S&P500 crash of -20%.

Lionscrest TailPro US Equity LP (“Delaware Fund”) and Lionscrest TailPro US Equity SP, a segregated portfolio of Lionscrest Funds SPC (the “Cayman Fund” and together with the Delaware Fund, the “Lionscrest Funds”).

Universa Investments

Universa Investments L.P. (“Universa”) is an investment management firm that has specialized in risk mitigation since it was founded in 2007 by President and Chief Investment Officer Mark Spitznagel. Spitznagel and Universa’s Distinguished Scientific Advisor, Nassim Nicholas Taleb, together began tail hedging formally for client portfolios over twenty years ago.

Universa both formalized and institutionalized the idea of tail risk hedging in 2007, providing live tail risk mitigation for clients during (and since) the 2008 crisis. Cultivated by decades of cumulative development and implementation, Universa’s risk mitigation strategies focus on maximizing convexity—the degree of portfolio loss protection provided for a given capital allocation.