Why Managed Futures?

Global, Multi-Strategy Exposure

When it comes to offering broad-based diversification, few strategies can compete with managed futures. And fortunately for investors, that diversification comes in two varieties.

First, most managed futures strategies offer exposure to four major asset classes - global equity indices, global fixed income instruments, currencies, and commodities. This diversification ensures that if trends are present within an asset class, either up or down, that investors will have exposure to those trends. Since these four asset classes don’t tend to be highly correlated to one another over long periods of time, the resulting portfolio diversification serves as a powerful tool for achieving attractive risk-adjusted returns that would be difficult to replicate by trading a single market or asset class. For example, our flagship Program, the Global Monetary Program trades in the following markets:

Second, managed futures strategies have evolved to include many different time frames and algorithms in their analysis of directional movement. Originally, trends were measured with a single model that consisted of one algorithm operating in one time frame. Now, strategies are much more complex and include many algorithms that each operate in many different time frames. This model-level diversification should help further smooth performance and protect against the concentration risk inherent in a single model approach. In addition, some strategies now complement their core trend-following models by adding other methods such as mean reversion, macro/fundamental analysis, pattern-based trading, and spread trading.

DISCLAIMER - THE INFORMATION CONTAINED HEREIN IS INTENDED FOR USE BY QUALIFIED ELIGIBLE CLIENTS AS DEFINED IN CFTC REGULATION 4.7.  FUTURES, FORWARD AND OPTIONS TRADING IS SPECULATIVE, INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.  THIS INFORMATION IS NOT A SOLICITATION FOR INVESTMENT.  SUCH INVESTMENT IS OFFERED ON THE BASIS OF INFORMATION AND REPRESENTATIONS MADE IN THE APPROPRIATE OFFERING DOCUMENTATION.

PURSUANT TO AN EXEMPTION FROM THE COMMODITY FUTURES TRADING COMMISSION IN CONNECTION WITH ACCOUNTS OF QUALIFIED ELIGIBLE CLIENTS, THE INFORMATION PRESENTED ON THIS WEB SITE IS NOT REQUIRED TO BE, AND HAS NOT BEEN, FILED WITH THE COMMISSION.  THE COMMODITY FUTURES TRADING COMMISSION DOES NOT PASS UPON THE MERITS OF PARTICIPATING IN A TRADING PROGRAM OR UPON THE ADEQUACY OR ACCURACY OF COMMODITY TRADING ADVISOR DISCLOSURE.  CONSEQUENTLY, THE COMMODITY FUTURES TRADING COMMISSION HAS NOT REVIEWED OR APPROVED THIS TRADING PROGRAM OR OF ANY OF THE INFORMATION PRESENTED ON THIS WEB SITE.

PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURES RESULTS.  NO REPRESENTATION IS BEING MADE THAT ANY INVESTOR WILL OR IS LIKELY TO ACHIEVE SIMILAR RESULTS.  THE RISK OF LOSS IN TRADING COMMODITIES CAN BE SUBSTANTIAL.