Managed Futures
Ability to profit independent of the economic environment
Ability to profit independent of the economic environment
Managed Futures Versus Stocks During Stock Market Declines from January 1980 to March 2004. The next bar chart shows the comparison between the performance of managed futures and stocks during the five worst declines in U.S. stocks as represented by the S&P 500 index.
Source: Barclays Group
The data above supports the benefits of non-correlation which are inherent in managed futures portfolios and which also highlight the ability to profit independent of the economic environment. The pie chart information was derived from the Barclays study which shows the performances of selected asset classes, the worst case declines, and how managed futures performed over the period of the study
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Key Benefits of
Managed Futures
- 1. Non-correlation to traditional assets
- 2. Potential for enhanced portfolio returns
- 3. Opportunity for reduced portfolio volatility risk
- 4. Opportunities in both bull and bear markets
- 5. Ability to profit independent of the economic environment
- 6. Can be employed as an inflation or deflation hedge
- 7. Provides global diversification into array of liquid markets
- 8. Managed Futures industry is stable and transparent
- 9. Potential tax benefits managed futures versus stocks