In today’s investment arena, with an ever-increasing need for diversification, transparency, and liquidity, investors continue to look beyond traditional investments. Many investors, ranging from large institutional firms to individuals, are discovering that these needs can be satisfied without compromising performance by investing in managed futures and managed forex.
What Are Managed Futures and Managed Forex?
Managed futures and managed forex describes the category of alternative investments associated with Commodity Trading Advisors (CTA) as well as commodity funds, futures funds, and commodity pools.
CTAs are professional money managers who specialize in using global futures and options markets as trading vehicles for their clients. These managers have the ability to take both long and short investment positions to provide clients potential for gains throughout market cycles. CTAs can offer investors direct exposure to international financial and non-financial asset sectors, including:
In addition to trading a broad spectrum of asset classes and markets, CTAs also employ a variety of different trading strategies, styles, and analyses. These may include systematic or discretionary trading systems as well as fundamental or technical market analyses.
Risk Disclosure: Past performance is not indicative of future results. The risk of loss in trading Commodity Futures, Options, and Foreign Exchange (Forex) can be substantial no matter who is managing your money. There are substantial risks and conflicts of interests associated with Managed Futures and Managed Forex accounts, and you should only invest risk capital. Trading in Commodity Futures, Options, and Forex is not suitable for all investors. If you are unsure your financial circumstances permit you to invest you should seek professional advice.
Each Commodity Trading Advisor (CTA) is required by the Commodity Futures Trading Commission (CFTC) to issue the prospective clients a Disclosure Document outlining the fees, conflicts of interest, and other associated risks. An investor must read and understand the current disclosure document before investing. CTAs have total trading authority, and the use of a single CTA could mean a lack of diversification and higher risk.
The material and any views expressed herein are provided for information purposes only and should not be construed in any way as an endorsement or inducement to invest in any specific program.