A LAWRENCE OF LONDON STRATEGY FUND The Climax Fund is exactly that. It seeks to create a liquid equlibrium via 50% HEDGE positions in the S&P dirivative market. It is a leveraged wager on highly volatile markets both up and down. It seeks financial motherload in the event of a climactic blow-off followed by a dramatic crash.
The theory of placement is based on a wager that a dramatic blow-off
is most likely to occur before the bull market tops.
It is a HEDGE fund in the sense that it makes constant adjustments inputs and calls with a target of 50% in each. The fund share price will decline only if - over time - the general market level remains static. Dramatic swings in daily price action should be anticipated.
If you have a converse stategy, fund shares can be sold short.