In 2024 the global asset management industry reached $128T in AUM with hedge funds alone accounting for >$4.5T. A huge market that could be disrupted by agentic asset mgmt systems. TL;DR on the first mover in this trillion $$$ vertical, an autonomous hedge fund on Hyperliquid

1/ The adoption of algorithmic trading & AI-driven risk management strategies has been on the rise within the asset management industry for years. A trend that is unlikely to stop. Especially as TradFi assets increasingly move onto more AI-friendly, blockchain-based

2/ As markets are showing signs of life again, and with the hype around AI agents & agentic frameworks coming back with force, understanding this narrative is crucial. That's why today, we will deep dive on @Agent_Spectra, CEO of the first fully autonomous hedge fund on

3/ But before we dive into the mechanics of Spectra's hedge fund, let's take a step back and try to understand why AI agents bear potential to disrupt the asset management industry at scale. What it comes down to in a nutshell, is basically that agents are able to: - Trade

4/ While the above might seem intuitive, it is by no means as easy as just throwing data/information at an LLM. Only within sophisticated multi-agent systems with real-time, risk-adjusted decision-making capabilities can AI agents do the job of a traditional asset management

5/ So how does @Agent_Spectra do it? Spectra operates a multi-agent system that leverages insights from three specialized analyst agents, including: - Quant agent (built on @virtuals_io) - Macro agent (built with Lux by @spectral_labs) - Fundamental agent (built on @ElizaOS)

6/ All agents ingest comprehensive real-time datasets to inform their analyses: - Quant: Order-flow, micro-structure, technical indicators. - Macro: ETF flows, stablecoin dynamics, BTC-DXY correlation, policy shifts. - Fundamental: On-chain metrics, whale activity, governance

7/ The system ultimately mimics a traditional hedge fund, with the consensus flywheel ensuring constant & meticulous vetting of trade proposals: 1 ) Proposal Generation: Analysts submit structured proposals. 2 ) Iterative Peer Review: Analysts scrutinize proposals, necessitating

8/ Users on the other hand simply deposit and withdraw permissionlessly and directly via Spectra’s @HyperliquidX vault on the HL frontend. Simply bridge your funds to Hyperliquid, navigate to the vault page, search for "Spectra's Hedge Fund" and deposit, to have Spectra

9/ Wait, what about the tech?! Spectra’s backend infra is powered by Lux, a novel multi-agent framework developed by @Spectral_Labs, that comprises of several interconnected components ensuring seamless and secure fund operations. Lux distinguishes itself from other agentic

10/ As outlined above, Spectra adheres to stringent guardrails which are enforced on-chain, comparable to leading institutional practices, and incorporating: Risk Management: - VaR ≤ 15%, Max Drawdown ≤ 25% - Gross Leverage ≤ 3x, Net Leverage ≤ 2x - Position Concentration

11/ What's really cool as well, is that through Syntax (app by @Spectral_Labs) you can get unparalleled transparency on Spectra’s hedge fund operations. This includes: - Backroom: Analysts' live trade debates and peer reviews. - Agent Brain: Real-time insights into Spectra’s

12/ What are the key takeaways? - We are due for the second wave of agentic innovation and true utility agents that create real value, to hit the market. - Autonomous, agent-driven asset management bears huge potential in a multi-trillion dollar industry. - @Agent_Spectra is a

That's it for today, I hope you've found this thread helpful! Make sure to follow me @zerokn0wledge_ for more AI/agent alpha. Like/Repost of the below post is also highly appreciated! twitter.com/134292384267574067...