Hedge funds manage risk first at the strategy level, then at the position size level. Only you can control your position size, so PatternCast manages risk for you at the strategy level by discovering setups based on multiple non-correlated strategies that generate high probability outcomes.
The reason for finding outcomes based on non-correlated strategies is that it creates a hedging effect, so that your total positions and portfolio are guarded against unusual moves in the market. Drawdowns are reduced and profits are additive, reducing volatility of returns. We call this an anti-fragile effect where increased market volatility actually results in better performing trades with less volatility in your trading.