Hedge fund allocation, built around one client at a time.
YOU, THE CLIENT, COME FIRST. THE PORTFOLIO ALLOCATION COMES SECOND. THE MANAGER COMES THIRD.
I help sophisticated investors evaluate hedge funds and liquid alternatives, select managers and build portfolios around the client’s objectives, liquidity needs and existing exposures.
An allocator’s perspective, strengthened by experience running risk.
My background combines portfolio construction, manager evaluation and institutional trading. I have worked on both sides of the decision: assessing managers as an allocator while also managing and trading strategies myself.
USD 1.2B across 20 vehicles
At a Spanish institution, I gained hands-on experience co-managing day to day operations of a USD 3 billion across alternative investment vehicles, with a focus on hedge-fund portfolio construction, manager evaluation and quantitative analysis.
Built for your unique mandate
I designed and managed a global multi-asset strategy, advising key decision makers on portfolio allocation and alternative investments.
Fund-of-funds implementation
Through Sizemore Capital, my work spans multi-asset and fund-of-funds implementation, manager due diligence, and the ongoing monitoring of systematic and quantitative strategies.
From the inside as well as the outside
My trading and quantitative background helps me look beneath headline performance to understand how strategies actually generate returns, where risks can reside, and how they may behave in different market environments.
From manager selection to portfolio implementation.
The focus is on the decisions that matter between identifying a manager and putting capital to work: whether the strategy belongs in the portfolio, how much it should carry, how liquid it needs to be and how its role should evolve over time.
Manager sourcing
Managers are identified against a defined portfolio need, drawing on relationships across investment banks, hedge funds, family offices and the wider allocator ecosystem.
Institutional due diligence
Assessment of investment process, portfolio construction, risk, attribution, liquidity, terms, operations, organizational quality and alignment of interests.
Customized portfolio construction
Client objectives and constraints are translated into strategy allocation, manager selection, sizing, liquidity design and implementation sequencing.
Monitoring and reporting
Ongoing monitoring of performance, exposures, drawdown behaviour, factor sensitivities and manager developments, with the objective of keeping the portfolio aligned with its original purpose.
Hedge funds and liquid alternatives across multiple sources of risk and return.
The relevant strategy is determined by the role the portfolio needs to fill. The universe includes the following areas of experience and coverage.
Equity Long / Short
Directional and relative equity strategies, considered through beta, factor exposure, concentration and portfolio fit.
Event-Driven
Strategies driven by corporate events, restructurings and situation-specific catalysts.
Credit
Credit strategies assessed through spread, liquidity, leverage and downside characteristics.
Relative Value
Strategies seeking opportunities through relationships between related instruments or markets.
Global Macro
Discretionary and systematic approaches responding to global economic and market conditions.
Multi-Strategy
Diversified platforms combining multiple sources of return and risk under a centralized risk framework.
Systematic
Quantitative and rules-based approaches evaluated through signals, implementation, capacity and model risk.
Arbitrage
Including merger and convertible-arbitrage strategies where their risk and liquidity characteristics fit the portfolio.
Volatility & Opportunistic
Specialist strategies where convexity, tail exposure, liquidity and implementation require particular attention.
A disciplined path from client objectives to a working portfolio.
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Understand
Objectives, liquidity needs, existing exposures, concentrations and constraints across the broader portfolio.
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Source
Identify managers that can fill a specific role rather than collecting funds without a defined portfolio purpose.
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Diligence
Review process, portfolio construction, risk, attribution, liquidity, terms, operations and alignment.
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Construct
Determine strategy mix, manager sizing, liquidity profile and implementation sequence.
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Monitor
Reassess exposures, risk, liquidity and manager developments as the portfolio evolves.
For investors who need portfolio judgment, not another product list.
The approach is designed for sophisticated investors who understand the complexity of alternatives and want a disciplined connection between manager research and the total portfolio.
Family Offices
Alternative allocations considered alongside the family’s objectives, liquidity needs and existing exposures.
UHNW Investors
A portfolio-led framework for evaluating and integrating hedge funds and liquid alternatives.
Institutions
Portfolio-level analysis designed to support institutional decision making and investment committee discussions.
Sophisticated Allocators
Investors seeking a deeper connection between manager diligence, portfolio construction and implementation.
How I think about alternatives.
The right alternative investment starts with the client and the portfolio not with a fund. The allocation comes first; the manager follows.
Clients first.
I start with the client’s objectives, liquidity needs, existing exposures and constraints. The investment solution should serve the portfolio, not the other way around.
Allocation second.
Before selecting a manager, I determine what the portfolio needs: the role the strategy should play, the exposure it should provide and how it should fit alongside existing investments.
Top manager third.
Once the portfolio need is clear, the focus turns to finding the right manager. I assess how returns are generated, where risk can reside and whether the strategy genuinely adds value to the portfolio.
Risk should be understandable.
Sizing, correlation, liquidity, concentration and implementation all matter. My objective is to make complex strategies and portfolio risks clear enough for a sophisticated investor or investment committee to make a deliberate decision.
Questions investors usually ask.
What does hedge fund allocation cover?
The process covers manager sourcing, due diligence, strategy allocation, portfolio construction, sizing, liquidity design and ongoing monitoring. The objective is to connect individual managers to the role they are meant to play in the broader client portfolio.
How are managers sourced?
Managers are identified against a defined portfolio need, drawing on relationships across investment banks, hedge funds and family offices, together with relevant allocator channels. The starting point is the portfolio need: the focus is on finding managers that can fill a defined role rather than building a list of funds without a purpose.
How are managers vetted?
The assessment covers investment process, portfolio construction, risk management, attribution, liquidity and terms, operations, organizational quality and alignment of interests. For systematic and quantitative strategies, the analysis also considers how the process is built, tested and monitored.
How is due diligence different from simply reviewing performance?
Performance is only one part of the assessment. The focus is on understanding where returns come from, what risks are required to generate them, how the strategy behaves in different environments, and whether the manager’s liquidity, operations and terms are appropriate for the portfolio.
How is a portfolio customized to a client’s liquidity and constraints?
The process starts with the client’s objectives, liquidity needs, existing exposures and constraints, then determines what role alternatives should play. From there, strategy mix, manager selection, sizing, liquidity and implementation sequencing are considered at the total-portfolio level.
Can you support traditional asset allocation as well as alternatives?
Yes, where appropriate, the analysis can be considered within the broader portfolio context rather than in isolation. The focus is on understanding how alternative investments fit alongside existing exposures and contribute to the overall portfolio allocation, objectives and constraints.
Which strategies are covered?
The investment universe includes equity long/short, event-driven, credit, relative value, global macro, multi-strategy, systematic, arbitrage, volatility and opportunistic strategies. The relevant mix depends on the client’s objectives and existing portfolio.
How are positions monitored after implementation?
Performance, exposures, drawdown behaviour, factor sensitivities and manager developments are reviewed on an ongoing basis. Monitoring is intended to identify changes in the investment thesis, risk profile, liquidity or portfolio role—not simply to track returns.
What does an engagement look like?
The investment process begins with a deep understanding of the client and portfolio, followed by sourcing, due diligence, portfolio construction and ongoing monitoring. Based on my experience, a thorough engagement typically involves more than 20 conversations and can take around six months when the client is able to move efficiently through each stage. Fees are charged annually, with the scope, deliverables, minimum engagement size and implementation arrangements tailored to each client.
Do you work with private investors, family offices, UHNW investors and institutions?
My approach is closely aligned with the institutional OCIO model used by large global banks and major institutional platforms: a dedicated investment function covering manager sourcing, due diligence, portfolio construction, risk management and ongoing oversight across the total portfolio. Built on open architecture, it allows managers and strategies to be assessed on merit across the market, without reliance on proprietary products. The distinction is a direct relationship with a senior allocator, with any regulatory or discretionary mandate requirements
Are you providing investment, legal or tax advice?
This website is for information only and is not an offer or solicitation to buy or sell any security or investment product, nor investment, legal or tax advice. Services are available only where permitted by law and subject to the applicable regulatory framework.
The right allocation starts with the right conversation.
If you are evaluating hedge funds, liquid alternatives or the role of alternative investments within a broader portfolio, begin with a confidential discussion about your objectives, constraints and the role you want alternatives to play.
Start with a conversation about your portfolio.
If you are evaluating hedge funds, liquid alternatives or the role of alternative investments within a broader portfolio, schedule a confidential conversation to discuss your objectives, constraints and the role you want alternatives to play.
Mario Luis Randholm Luque is registered as an Investment Adviser Representative through Sizemore Capital Management, LLC (Firm ID 146961). His current registration includes Texas, where he is registered as an Investment Adviser Representative and is listed as approved effective September 19, 2022. Regulatory status and permitted services are subject to the applicable jurisdiction and regulatory framework.
This website is for information only and is not an offer or solicitation to buy or sell any security or investment product, nor investment, legal or tax advice. Hedge funds and alternative investments involve substantial risk, including illiquidity and possible loss of capital, and are intended only for investors for whom such investments are permitted and appropriate. Past performance does not guarantee future results. Services are available only where permitted by law.
COMPLIANCE REVIEW: Confirm that all regulatory disclosures, professional credentials and historical investment claims are up to date and accurately reflected in AdviserInfo (https://adviserinfo.sec.gov/). Mario’s CRD #: 5002254.