Alpha Signal
Benchmark-Relative Alpha Signals — Spot Mispriced Bonds Before the Crowd
Hypothetical 10-Year Simulated Impact
Backtest-inspired simulation (2015–2024) for a $1B portfolio — adding meaningful value through high-conviction, idiosyncratic alpha signals.
7.6% vs 5.1% annualized
Sharpe 0.94 (+104%)
4.0% vs 2.5% annualized
Sharpe 0.45 (+165%)
THE PROBLEM
In today's volatile credit markets, systemic risks and macro noise often mask true idiosyncratic opportunities — making it hard to consistently identify mispriced bonds using intuition or basic spread analysis alone.
THE SOLUTION
AXOR Alpha Signal delivers benchmark-relative, beta-adjusted alpha ideas by calculating dynamic 1-year z-scores on relative spreads — isolating cheap (buy) and rich (sell) bonds while neutralizing market-level risks.
How the Alpha Signal Works
Simple yet powerful: Isolate true mispricing with mean-reversion rooted methodology.
- 1. Compute relative spread (bond spread – index spread)
- 2. Apply 1-year z-score (positive = cheap / buy, negative = rich / sell)
- 3. Add beta adjustments, liquidity filters & customizable thresholds (e.g. |z| > 1.5)
Example Z-Score Visualization of Bond Mispricing (Mean Reversion)
Why AXOR Alpha Signal Stands Out
Superior Risk-Adjusted Alpha
Multi-factor design adapts to rate volatility & credit cycles — delivering stable outperformance vs benchmarks.
High-Conviction Ideas
Real-time buy/sell signals with liquidity filters & outlier handling for confident execution in fast markets.
Scalable Screening
Efficiently analyze thousands of HY & IG bonds — perfect for portfolio managers, traders & analysts.
Seamless Integration
Daily automated runs via API or sell-side platform plugins — built for modern fixed-income workflows.
Ready to Capture Superior Alpha?
Stop relying on intuition. Start identifying mispriced bonds with data-driven precision.
Schedule a demo to see AXOR Alpha Signal applied to your universe.
Book a Demo TodayContact:
sales@deepmm.com
© 2026 Deep Market Making, Inc. All rights reserved. Past performance is not indicative of future results.