Commodity Trading Pool

What are Managed Futures?

Managed futures are futures positions entered by a Professional money manager for clients. These managers are known as commodity trading advisors (CTA) or commodity pool operators (CPO). Managers can invest in a large number of markets, including:

  • Energy (Crude, Unleaded Gasoline, Natural Gas, etc…)
  • Agriculture (Corn, Wheat, Soy Beans, Live Cattle, etc…)
  • Currencies (Euro, Yen, Swiss Franc, Canadian Dollar, etc…)
  • Equities (S&P 500, Dow, Nasdaq, Russell 2000, and others)

Managers use a variety of trading methods depending on their expertise. Most of these are fundamentals, technical analysis, arbitrage or algorithmic. In many cases it is a combination of some or all of these.

Why Managed Futures?

Managed futures add real diversification to a portfolio:

  • žFutures represent potential hedges against such factors as business cycle movements and inflation or deflation risk.
  • žCPOs often target many markets using multiple strategies.
  • žCPOs can buy and sell futures, write or purchase options, and speculate in bull or bear markets. They do not need to pursue a single view as a bull or a bear.
  • žForeign exchange and financial index futures allow for global diversification without the need for a fine-grained focus on several thousand stocks or bonds worldwide.
  • žBy their very nature commodities are dependent upon global factors.
  • žThese characteristics make managed futures diverge from major markets, unlike certain hedge fund strategies.

Chaos Cruncher Curve

Components of Chaos Cruncher

  • žAutomatic System Health
  • žTrade by Trade Monitoring
  • žExpected Outcomes
  • žNeural Networks
  • žBinomial Trees
  • ž“Ideal” Equity Curve Formula
  • žDynamic Model
  • žResults Oriented
  • žSuccess

Binomial Trees

Portfolio Scalability

  • žStrategy is highly scalable
  • žHorizontal – Across products, across prices
  • žVertical – Quantity of contracts per product
  • žOptimization mapping used to determine optimal noise ranges
  • žEnables more contracts, more trading opportunities
  • žMitigates market impact
  • Summary

Do you wish to participate in a unique auto-execution trading program with a progressive approach?  If so, we have the answer. We offer participation in our Commodity Trading Advisor. Simply open and fund an account with our trusted brokerage firm and let us do the rest. Contact our friendly staff for more details.

Strategy Surface

Our team can…

  • žHelp you establish an account
  • žWalk you through the CTA Disclosure Document
  • žGet you started for as little as $25K

We are looking forward to your inquiry


Disclaimer: Trading futures and options involves the risk of loss. You should consider carefully whether futures or options are appropriate to your financial situation. You must review the customer account agreement and risk disclosure prior to establishing an account. Only risk capital should be used when trading futures or options. Investors could lose more than their initial investment. Past results are not necessarily indicative of futures results. The risk of loss in trading futures or options can be substantial, carefully consider the inherent risks of such an investment in light of your financial condition. Information contained, viewed, sent or attached is considered a solicitation for business.