Alternative Links: Volatile Times

This is up dramatically from the 47 percent of survey respondents who expected consolidation in 2017’s survey.

Three-quarters of alternative fund administrators expecting industry consolidation –(HedgeWeek)

 

“Enhanced diversification” can potentially eliminate these opportunity costs. As shown, a 60/40 portfolio has an expected return of 7.6%, risk of 9.6%, and a Sharpe Ratio of 0.69. A 70/30/70 “enhanced” portfolio with about the same level of risk has an expected return of 10.7% (310 basis points higher) and a Sharpe Ratio of 1.01. Enhanced diversification truly enhances the potential free lunch that diversification provides.

Managed Futures: The Power Of Enhanced Diversification – (Alpha-Week)

 

There’s long time managed futures database BarclayHedge reporting a new record high of $347 Billion, but Nasdaq owned eVestment showing just $135 Billion of assets for managed futures focused funds.

Emerging Managed Futures Managers Win AUM Flows – (RCM’s Attain Alternatives Blog)

 

Bitcoin and other cryptocurrencies are “kind of a pure ‘greater fool theory’ type of investment,” Microsoft co-founder Bill Gates said Monday.

Bill Gates: I would short bitcoin if I could – (CNBC)

 

It would mean Xapo, just 4 years old, has more “deposits” than 98 percent of the roughly 5,670 banks in the U.S.

The Wealthy are Hoarding in $10 Billion Bitcoin in Bunkers — (Bloomberg

 

For Commodity Trading Advisors (CTAs) going long those commodity markets in backwardation, the roll yield can be a boost for performance, adding return simply by holding the position.

Commodities are Back in Backwardation – (RCM’s Attain Alternatives Blog)

 

There were at least two incitements behind this letter. First, its authors, Chairman Ed Tilly and President Chris Concannon, were responding to an article posted on SSRN in May, by two scholars at the University of Texas at Austin, John M. Griffin and Amin Shams. Griffin and Shams suggested that the CBOE VIX system is vulnerable to manipulation.

THE CBOE AND VIX: THE APPEARANCE OF MANIPULATION – (All About Alpha)

 

Further, despite lower fees, a risk premia portfolio would have failed to improve performance. Arguably, this is two steps forward and, quite possibly, two steps back.

Trend-Following Index Managers Have So Far Failed to Replicate Managed Futures’ Performance – (Wealth Management)

 

Further, the frequency of data that goes into our calculations can have a dramatic effect on the result, and with that, expectations. Keep this in mind, and pay less attention to daily performance, and you may make better investment decisions.

How to Measure Returns in Volatile Times – (Think Advisor)

 

Digitalisation, artificial intelligence, smart grids and the increasing dominance of renewables will move trading closer to real-time, evolving the energy market from limited numbers of centralised generation units towards millions of distributed sub-systems capable of producing at zero marginal cost.

Slaves to the algorithm – (Montel News)

Disclaimer
The performance data displayed herein is compiled from various sources, including BarclayHedge, and reports directly from the advisors. These performance figures should not be relied on independent of the individual advisor's disclosure document, which has important information regarding the method of calculation used, whether or not the performance includes proprietary results, and other important footnotes on the advisor's track record.

The programs listed here are a sub-set of the full list of programs able to be accessed by subscribing to the database and reflect programs we currently work with and/or are more familiar with.

Benchmark index performance is for the constituents of that index only, and does not represent the entire universe of possible investments within that asset class. And further, that there can be limitations and biases to indices such as survivorship, self reporting, and instant history. Individuals cannot invest in the index itself, and actual rates of return may be significantly different and more volatile than those of the index.

Managed futures accounts can subject to substantial charges for management and advisory fees. The numbers within this website include all such fees, but it may be necessary for those accounts that are subject to these charges to make substantial trading profits in the future to avoid depletion or exhaustion of their assets.

Investors interested in investing with a managed futures program (excepting those programs which are offered exclusively to qualified eligible persons as that term is defined by CFTC regulation 4.7) will be required to receive and sign off on a disclosure document in compliance with certain CFT rules The disclosure documents contains a complete description of the principal risk factors and each fee to be charged to your account by the CTA, as well as the composite performance of accounts under the CTA's management over at least the most recent five years. Investor interested in investing in any of the programs on this website are urged to carefully read these disclosure documents, including, but not limited to the performance information, before investing in any such programs.

Those investors who are qualified eligible persons as that term is defined by CFTC regulation 4.7 and interested in investing in a program exempt from having to provide a disclosure document and considered by the regulations to be sophisticated enough to understand the risks and be able to interpret the accuracy and completeness of any performance information on their own.

RCM receives a portion of the commodity brokerage commissions you pay in connection with your futures trading and/or a portion of the interest income (if any) earned on an account's assets. The listed manager may also pay RCM a portion of the fees they receive from accounts introduced to them by RCM.

Limitations on RCM Quintile + Star Rankings

The Quintile Rankings and RCM Star Rankings shown here are provided for informational purposes only. RCM does not guarantee the accuracy, timeliness or completeness of this information. The ranking methodology is proprietary and the results have not been audited or verified by an independent third party. Some CTAs may employ trading programs or strategies that are riskier than others. CTAs may manage customer accounts differently than their model results shown or make different trades in actual customer accounts versus their own accounts. Different CTAs are subject to different market conditions and risks that can significantly impact actual results. RCM and its affiliates receive compensation from some of the rated CTAs. Investors should perform their own due diligence before investing with any CTA. This ranking information should not be the sole basis for any investment decision.

See the full terms of use and risk disclaimer here.

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