What are Managed Forex & Managed Futures?
Managed futures 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:
- Agricultures
- Currencies
- Financials
- Metals
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.
Although managed futures and CTAs have been a part of the financial services industry for several decades, their popularity has recently increased as more investors realized their benefits.