Difference Between Managed Futures & Other Alternative Investments
Alternative investments serve to stabilize and add diversification to traditional portfolios (that mainly consist of stocks, bonds and real estate), while also potentially increasing long term portfolio returns.
These are the basic underlying reasons why qualified investors access alternative investments like hedge funds and managed futures, which typically function in a manner independent of the traditional markets and historically generate positive returns in times of declining equity prices and /or rising interest rates.
With the exception of managed futures, most alternative investments such as hedge funds, fund of funds, private equity, venture capital funds, oil and gas limited partnerships generally don’t offer transparency, liquidity and in most cases regulatory oversight.
Managed futures programs offer a high degree of transparency and liquidity (based on the type of account an investor chooses, from either fund structure to individual accounts), and are not subject to lockups, redemption penalties or gates. In addition, managed futures programs have favorable tax considerations either in a fund or individual account structure and a high degree of regulatory oversight by the National Futures Association and the Commodity Futures Trading Commission.
Triton Capital Advisors, in cooperation with our affiliate (which has a multi-division team of approximately 35 research dedicated professionals), reviews the universe of managed futures managers, selects managers which meet rigorous initial screens and then performs extensive due diligence on managers, so that we are able to present our clients with the most appropriate managers suitable to their particular needs and objectives.
Visit our “What We Offer” page for more information about our managed futures research, or call us today: 866-856-6292
