An event-driven strategy is a type of investment strategy that attempts to take advantage of temporary stock mispricing, which can occur before or after a corporate event takes place.
Examples of corporate events include restructurings, mergers/acquisitions, bankruptcy, spinoffs, takeovers, and others. An event-driven strategy exploits the tendency of a company's stock price to suffer during a period of change.
Activist Strategy :
Activist investment strategy involves influencing shareholder voting rights to impact corporate governance.
An activist investment strategy involves three components:
- Identyfying corporation that do not maximize shareholder wealth.
- Investing in position that benefit from changes in corporate governance.
- Executing favorable corporate governance change.
The Merger Arbitrage Strategy :
Merger arbitrage involves simultaneously purchasing and selling the respective stock of two merging companies to create riskless profits.
Event Driven Multi Strategy Funds :
Event Driven Multi strategy Fund diversify across various event driven strategies including corporate debt and equity securites.
Ticket Value :
Event-driven investing is a hedge fund investment strategy that seeks to exploit pricing inefficiencies that may occur before or after a corporate event, such as an earnings call, bankruptcy, merger, acquisition, or spinoff.
- Minimum Ticket Size - INR 1 Cr
- Tentative ROI - 17 - 19%