Getting up the Learning Curve
The benefits of managed futures is well documented. However, there are various risks associated with trading futures and options on futures. For that reason, investors' first step is to educate themselves about this investment space.
Futures contracts provide for the use of leverage in a way that many investors have not been previously exposed. The function of leverage allows for the potential of large profits as well as substantial losses. It also makes comparison of various CTA trading programs complex. Potential investors will want to become familiar with quantitative and qualitative analytical approaches to investing in managed futures.
This is where Managed Account Research can be of help. We recognize that while investment performance is a function of risk taken, the complexity of human behavior can never be fully modeled. We invite you to explore our website to learn more about how our knowledge can increase your command of managed futures and provide you to confidence necessary to start investing.
Your First Step in Managed Futures
Managed Account Research actively promotes thought leadership in managed futures by sponsoring qualitative research. To subscribe to our research, contact us at (800)308-1495. Questions and suggestions can be directed to Research.
[1] Lintner, John, "The Potential Role of Managed Commodity Financial Futures Accounts in Portfolios of Stocks and Bonds." Annual Conference of Financial Analysts Federation, May 1983.
[2] Chicago Board of Trade, "CBOT Managed Futures, Portfolio Diversification Opportunities."