Bullioo Capital
Bullioo Capital

Bullioo Capital’s philosophy is based around maximizing market returns using the latest in modern information processing techniques. As our markets become more automated, more integrated, more global and always open, the manual techniques of managing investments are not enough. Bullioo Capital’s machine intelligence operates in the global FX market space, 24 hours, 5 days a week aiming to maximize returns across a diversified set of currencies and approaches to balance strategy, risk and rewards.

With our Australian Financial Service licensee HLK Group and executing broker Pepperstone, we provide a Managed Discretionary Account operating on the Foreign Exchange (FX) market utilising the Aurelia strategy.

What do we do

We have heavily invested in automation to ensure our clients can invest with us through an easy to use, transparent service offering that is streamlined through an online portal. We believe that within the ever-changing marketplace a service that can be offered to investors in the comfort of their own home, is something that is expected in today’s day and age and we strive to refine this service each day to exceed our client’s expectations.

Our key personnel have combined over forty years of craftmanship, delivery and expertise in the knowledge engineering space. Working with large companies with high performance, high scale transaction processing systems and risk management systems. Bullioo Capital is applying disruptive automation to the trading of FX systems leading to a new level of risk reward management. Enter the new world of automated trading today with Bullioo Capital.

The Bullioo Capital Strategy is a service offering to both ‘retail’ and ‘wholesale’ investors (as defined by the Corporations Act 2001), giving them an opportunity to invest with ease and efficiency.

Automated trading

How do the automations work?

Bullioo Capital runs a series of automations on the MetaTrader 4 platform. Each automation makes trades on one or more pairs in the FX market.  We tune the automations so that they hedge each other’s trades where appropriate and cover a spread of different trading styles and pairs.  These automations trade twenty-four hours, five days a week. On the off days, we tune the automations based on trends in the market, and the previous month(s) trading.

We call this tuning “curve combining” and we adjust this and other risk factors on the automations weekly, so we keep abreast of changing market conditions to manage the trade risks.

For example, the graphs below show how four automations’ return curves are combined to smooth out the volatility to product the return curve on the right.

Return Combining

IT Infrastructure

Bullioo Capital’s automations are executed on native high performance hardware platforms based in New York physically adjacent to Pepperstone’s own Equinix data centre.  In the event of failure, we fall back to a data centre in London, and if London fails we fall back to Singapore.  Our MDA master trading account settings are backed up to a multi-point, multi geographic file store.

What is a Managed Discretionary Account?

Managed Discretionary Accounts, or MDAs, are a more efficient and direct model of managing a clients’ investments as compared to the traditional fund management structure. The client’s account is opened directly with a reputable executing broker partner. Bullioo Capital has chosen to partner with Pepperstone Group Limited (“Pepperstone”) as our preferred executing broker.

By entering into the MDA, the client is giving HLK Group permission to trade the account on their behalf. The trades will be directed by the underlying quantitative model of the respective MDA.

MDAs in Australia are regulated by the Australian Securities & Investments Commission (“ASIC”) and the provision of MDA services must meet certain conditions of the Corporations Act (2001), Regulatory Guide 179 and ASIC Corporations (Managed Discretionary Account Services) Instrument 2016/968. MDAs are managed by a Managed Discretionary Account Operator, which in this case is HLK Group, who holds, and operates under, an Australian Financial Service License (AFSL) to provide MDA services. The Operator has appointed Bullioo Capital as its corporate authorised representative to provide advice to you in relation to HLK Group’s MDA service.

The key advantages of the MDA Service include:

Legal Ownership– The investor retains legal ownership of all portfolio assets.

Transparency– The investor can view and monitor the MDA performance, along with all the underlying securities, fees in live time. Automated performance/holdings report’s directly available from the executing broker platform ensures independence of reporting as well and transparency in the fees and costs involved in the investing strategy.

Portability– The investor retains the right to discontinue the services of the asset manager without being required to liquidate their investments.

Liquidity– The MDA offers investors access to their cash holdings on a daily basis, all other assets are only restricted by the exchange settlement timeframes, usually 2-3 days.

Refer to our Investment Program (IP) for more information.

Who does what?

Our strategies use four different companies to manage aspects of your account.

Relationships between companies.
Who does what?
  1. HLK Group Pty Ltd – AFSL holder Managed Discretionary Account (MDA) Operator. Manages the application for our service and is authorized by you to trade on your behalf.
  2. Pepperstone Pty Ltd – AFSL holder Foreign Exchange (FX) and Contracts for Difference (CFD) broker who accepts your funds and executes trades.
  3. National Australia Bank Limited – AFSL, licenced bank who holds your funds on behalf of Pepperstone in a trust.
  4. Bullioo Capital Pty Ltd – Corporate Authorised Representative of HLK Group Pty Ltd, our systems perform the trades on Multi-Account-Manager in order to manage client accounts simultaneously.

Bullioo Capital Pty Ltd

Bullioo Capital

Corporate Authorised Representative (No. 001266821) of HLK Group Pty Ltd (“HLK Group”). We are based in Melbourne, Australia.

Bullioo Capital’s machine intelligence operates in the global FX market space, 24 hours, 5 days a week aiming to maximize returns across a diversified set of currencies and approaches to balance strategy, risk and rewards.

HLK Group Pty Ltd

Australian Financial Services License No. 435746

Managed Discretionary Account Operator who has appointed Bullioo Capital a Corporate Authorised Representative (No. 001266821) of HLK Group Pty Ltd (“HLK Group”).  HLK is based in Sydney, Australia.

HLK Group was built from a decade of experience in the financial services industry that exposed a simple idea to service the demand in the market for a transparent, cost efficient and actively managed investment solution that has been trialled and tested to be effective.

Today we are a leading MDA operator in Australia overseeing more than 20 strategies across a range of financial instruments and markets. We look forward to the future of industry to grow our offering and business in Australia and internationally.

Pepperstone Group Limited

Australian Financial Services License No 414530

One of the largest Forex and Contract for Difference (CFD) brokers in the world. Based in Melbourne, Australia.

Pepperstone assists retail and institutional investors in using forex and other instruments as an asset class and part of their investment objectives. We strive to offer the best trading platforms with access to low-cost pricing, reliable trading infrastructure, fast execution and exceptional client support. Pepperstone offers direct access to multiple destinations of liquidity in the forex markets without the usual burdens of a deal desk that had previously been unavailable to the retail investor.

National Australia Bank Limited

Australian Financial Services Licence No. 230686

One of Australia’s largest financial institutions.  Based in Melbourne, Australia.

We’re NAB.

For almost 160 years, we’ve been helping our customers with their money.

Today, we have more than 30,000 people serving 9,000,000 customers at more than 900 locations in Australia, New Zealand and around the world.

As Australia’s largest business bank, we work with small, medium and large businesses. We’re there from the beginning to support them through every stage of the business lifecycle.