Allocating to Managed Futures

While allocating to managed futures can provide excellent non-correlated diversification opportunities, it is a complex and specialized field that requires a deep and equally specialized understanding of how and where to invest. Altegris has industry experience and powerful analytical tools that can help you find and select what we believe are quality CTAs, build out your portfolio, and closely monitor your investments.

Commodity Trading Advisors

Managed futures are alternative investments that allow investors to access the world's futures markets through the services of professional money managers known as commodity trading advisors (CTAs). Many CTAs are highly specialized and trade only in their area of expertise, while others focus on the advantage of trading a broad, diverse range of opportunities.

Historically Low Correlation to Traditional Investments

One of the main reasons many investors believe in incorporating managed futures into their portfolio has to do with correlation. As a whole, managed futures programs have historically been negatively correlated with equity indices in months when equity returns have been negative, and positively correlated when equity returns are positive.¹ Dr. John Lintner of Harvard University has concluded that "the combined portfolios of stocks after including judicious investments in managed futures accounts show substantially less risk, at every possible level of expected return, than portfolios of stocks (or stocks and bonds) alone."² Correlations are subject to change. There is no guarantee that the addition of alternative investments to a portfolio will increase returns or avoid losses.

View Interactive Historical Performance Charts

Frequently Asked Questions About Managed Futures


Managed Futures Specialists - www.ManagedFutures.com

Visit www.managedfutures.com for more information about allocating to managed futures, or call us at (800) 828-5225.



1. Burak Cerrahoglu and Dulari Pancholi, "The Benefits of Managed Futures," Center for International Securities and Derivatives Markets, March 2003.
2. Dr. John Lintner, "The Potential Role of Managed Futures Accounts in Portfolios of Stocks and Bonds," 1983.