2007 CTA Annual Review
January 28, 2008
Volatility spikes sting option sellers, while diversified strategies see gains
2007 again marked substantial investor interest into professionally managed Commodity Trading Advisors (CTAs), as worldwide investment into managed futures increased nearly 10%, moving from $170 Billion to $185 Billion. This drive into managed futures was no doubt fueled by the continued commodity boom - as evidenced by the Goldman Sachs Commodity Index gaining 32% on the year. CTA returns were off of that pace, at +7.6% for 2007 according to the Barclay CTA index., but also much less volatile than a long only commodity index.
2007 marked the return of global volatility, as the global credit crunch sent markets gyrating wildly. This extreme volatility generally benefited diversified strategies such as trend followers, while it took its toll on many option selling programs who are in the business of selling volatility.
When selling volatility, you don't want to see it spike like it did at three distinct points throughout the year - in February/March, July/August and November/December. On an annual basis, stock index volatility as measured by the VIX Index was up 95% to 22.50, but finished the year well off its high of 37.50 in August, and those spikes caused problems for the option sellers.
Elsewhere, the commodity option sellers had a hiccup in mid-October as grains and energies exploded forcing managers out of their short calls for large losses, while spread traders had mixed results due to some rather radical changes in seasonal market tendencies due to Chinese demand. Finally, diversified directional traders with their generally long volatility profiles enjoyed gains.
This week's newsletter gives a brief 2007 review of many of the CTAs Attain clients are invested in. In any annual review, people love seeing who was at the top of the list - so we have ranked all of the CTAs with minimums of $1 Million or lower based on their 2007 return in the table at the bottom of the newsletter.
You will see three quite different CTA programs sitting atop the list of top performers for 2007 - an option seller (Ascendant), discretionary trader (Dighton), and 100% systematic program (APA). This diversity among the top performers gives us a taste of just how many opportunities are available in the commodity markets.
The top performer was Ascendant Asset Advisor's Strategic1 program, which gained 87.9% mixing short options with directional bets in emini stock index options. Next in line was the discretionary trader Dighton Capital, which returned 32.9% behind bets on long Sugar and Cotton. And rounding out the top 3 was Attain's own APA Strategic Diversification Program, which used its multidimensional diversification model to post gains of 28.3% on the year.
The following section lists an advisor by advisor report of each CTA tracked by Attain with a minimum of $1 MM or less, with a link to that CTA's performance record, as well as a link to the CTA's website. You will see CTAs that did well, and CTAs that did not.
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2007 CTA Annual Reviews: (listed alphabetically)
PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS
ACE Investment Strategists: performance / website
One of the granddaddies of option selling - ACE had a rocky start to the year just like a lot of other option sellers, with three consecutive losing months in Feb, Mar, and April pushing the program down 28%. But seeing the opportunity that was ahead with higher option premiums, veteran manager Yu-Dee Chang made some trading style adjustments in the middle of last year to better handle the extreme market volatility and staged a fantastic recovery, nearly pulling back into the black.
ACE managed to end the year down less than ½ of 1%. The slight change that was made was to have less of a directional bias, and it has worked so far. Those investors who started during the drawdown last year saw gains of between 10% and 28%, while long time investors with ACE are within striking distance of new equity highs. With a compounded 43.5% rate of return and a 6 ½ year real time audited track record, ACE has once again proven the value of experience. The lesson here is that when you find a good CTA with a long profitable track record, investing in a drawdown can pay off.
Ascendant : performance1 / performance 2 / website
Having posted over 50% returns over the two most recent years Ascendant can very well be described as the Ferrari of managed futures investing. For 2007, their Strategic 1 program returned 87.89% and the Strategic 2 approx. 70%. These are impressive returns to be sure, and even more so when you consider that Ascendant is an option seller, and 2007 was the worst year in the past 6 for option sellers.
Their secret in 2007 was being flexible, and timing the market as well as selling options. That meant they were not always on one side of the market or another. For example, they were not short Puts when every other option seller was in February.
But those impressive returns are not without impressive risk as well, and we are lucky enough to be able to peer into the future in this 2007 review and tell you about some extreme volatility in the Ascendant programs so far in 2008. Over the past two weeks, fully invested investors in Strategic 1 experienced a closed trade drawdown of approximately 70% of initial capital! That is a 70% loss in just under a month, highlighting just how risky an aggressive option selling program like Ascendant can be.
How were these returns (and subsequent losses) achieved? Ascendant is a option premium collection strategy that will, though the use of multiple emini stock index future options and proprietary automated trading software, work to “maximize” the margin use of each account though speculative directional positions. By maximizing the margin use in the account they are able to quickly scale up their positions or compound investor equity being traded. This proved to be an excellent method; right up until last week, when pushing margin levels to the full value of the account proved to be extremely dangerous and the cause for excessive losses.
Ascendant plans on continuing to trade just as they have been, and are able to continue to trade even though they have only 30% of their trading capital left, given the scalability of emini options, which let them scale down to just a single emini if need be. We believe they will have some flashes of brilliance again in 2008, but also know that it will be a very tough task to earn back a 70% loss, and will likely have some continued high volatility in their accounts as they claw their way back.
Attain Portfolio Advisors - Strategic Diversification Program: performance / website
2007 was the best year since inception for Attain Portfolio Advisors (APA), with a gain of 28% for the year pushing the program to new all time equity highs. With multiple different models working on over 50 markets worldwide, and in different time frames - the global spike in volatility worked right into the hands of the overall APA strategy. Gains came from intermediate term, swing trading energies, foreign stock indices, and grains - as well as longer term "trend following" trades in bonds, currencies, and metals.
2007 also marked the launch of APA's "Modified" program, which runs the same mult-dimensional diversification strategy as the main program, but at about 1/2 the margin, leading to a minimum of just $250,000 versus the full program's $1 Million minimum. See the Modified's 2007 performance here.
BC Capital Management: performance / website
No one was hit harder by the volatility spike in 2007 than option selling program BC Capital. And ironically, their losses were because of their risk parameters, not in spite of them. BC uses hard and fast exit levels for the options it sells, to protect against a catastrophic loss - and unfortunately had those stop levels elected several times in 2007, in July, August, and again in November. The end result was losses of -12.7% for the year.
Sneaking a peek into 2008, where some more market volatility here in January elected BC's stop levels once again - we can report that BC Capital has voluntarily stopped all trading, feeling that the current high volatility environment has made their strategy more risky than they believe is prudent. This came as a bit of a surprise, but we applaud Tim of BC for being honest with his clients and making this decision.
We wish Tim luck as he moves on from BC Capital, and knowing there will be tough times for any great trader out there, hope to see him back in the saddle sooner rather than later.
Cervino Capital Management: performance / website
Having just completed their second full year of trading, Cervino Capital is starting to show the beginnings of a track record with consistency not typically custom in an options trader. Their main program returned 7.55% with an end of month drawdown of just -4.47% for 2007 and has a current average annualized return off 8.94%.
One of keys to their success has been their strategy and market diversification. Unlike many option sellers who utilize the same type of option trade time and again (short naked Puts, short Put Spread, etc.)m Cervino uses strangles, credit and debit spreads, ratio spreads, calendar spreads, as well as naked options. The variety of option types allows them to tailor their trades to current market conditions.
This was shown in their ability to adapt to the changing market volatility that presented itself throughout the early and middle part of 2007. As the manager will admit, their over exposure to short index options in February and March was something to learn from and likely caused them to give up an additional 3-5% return for the year. The key in our opinion is that they learned from this experience and when markets shot lower in July / August they were better prepared to capitalize – from their low in July they earned approx. 11.5% in the final 6 months of the year. (As a quick note Cervino has also survived the most recent market collapse and is down only -0.50% so far in January.)
For some investors, Cervino's single digit returns are not worth the risk they take on with a short option strategy. In response to this, there are two options for higher returns 1. Investors can notionalize their initial 50k in capital up to 100k investment without adding new capital or 2. Cervino now offers a 2x leverage program. In either of the above options the potential future performance of the program is to return and risk 2x the current levels. Please give us a call or send an e-mail to invest@attaincapital.com if you have questions on this concept.
Finally, Cervino has also come out with a new commodity option program (COP) designed to trade both long and short volatility strategies on a range of physical commodities and commodity denominated currency futures. The program was launched in July 2007 and returned +3.19% though December with a drawdown of -4.02% in the second month of trading.
Chicago Capital: performance / website
Chicago Capital was supposed to be the savior for many portfolios in 2007. Without stock index or option exposure, and with a well balanced portfolio of traditional commodities - Chicago Capital was supposed to prove a valuable diversification tool. But things did not follow the script for Chicago Capital, as the program seemed to leak equity all year, ending the year at -7.7%.
In the words of manager Michael Connor, “trades we have done hundreds of times over the years are simply not working this year”. The worst of the bunch was a Wheat spread between Chicago Wheat and Kansas City Wheat in August as Chicago Wheat rocketed to new all time highs. Chicago Capital was short Chicago and long the Kansas City, causing losses as Kansas City did not rally as much as Chicago Wheat.
The program does have a max acceptable loss on any one position of -5%, and that level was unfortunately hit more than once in 2007 as the spread markets were "out of whack". With spread traders NDX also noting that the spread markets behaved oddly in 2007, we are monitoring Chicago Capital close heading into 2008 to see whether things have changed for good, or whether they will be able to return to their winning ways. As things look so far in January, it doesn't appear they will be recapturing the market any time soon.
We would love for Chicago Capital to follow the script, and provide the numerical diversification (read: winners) we expect with its many fundamental diversification benefits (different strategy - spreads, different markets - non stock index). But only time will tell if the program is up to the task. Stay tuned.
CKP Financial: LOMAX performance / website
CKP managed to post a very nice 20%+ return last year despite some very large intramonth losses throughout the year as volatility spiked. Clients at Attain were in DDs of close to 50% in October, and many ceased trading the program - but a strong Nov and Dec pushed CKP to gains for the year. CKP sells options on both sides of many different markets, and increased volatility in energies, currencies, and grains is likely to provide continued wild swings in the program.
While CKPs diversified portfolio does provide a nice alternative to the stock index option sellers, we believe the program is not for the faint of heart as it employs a very aggressive trading approach and equity swings intra month can get quite large. Nevertheless, at the end of the day, their option selling strangle strategy on a diverse basket of commodities has been successful, earning clients a compounded 32% ROR. Just make sure you get an accurate reading on the intramonth DD before considering.
Crescent Bay Capital Management: performance / website
Crescent Bay was one of the top option selling programs in 2007, returning just under 2% for what proved to be a very difficult year for stock index option selling programs. Their ability to post gains in this tough environment while more established option selling programs suffered losses between -5% and -20% signals to us that Crescent Bay knows their stuff. And it is hard to argue with the super affordable $10K minimum. (It also worth noting that Crescent Bay has survived the January vol spike just fine)
We would be remiss not to note that Crescent launched a new program in 2007 which actually looks to be on the long side of options from time to time, hoping to benefit from spikes in volatility unlike most option programs which look to benefit from the deterioration of time value in options. Their new, Balanced Volatility program started in August and returned just over 30% in just 5 months. It also has a $10K minimum as well, and could be a great addition for those investors invested in option sellers who are looking for a volatility hedge.
Diamond Capital Management: performance / website
As with most CTA's selling options in the stock indexes last year, Diamond also struggled with the spikes in volatility in 2007. While volatility can be a good thing for an option seller, as they will receive more premium for options sold, the extraordinary spikes up and down we saw in 2007 can wreak havoc on even the best advisors.
Diamond managed those spikes relatively well last year, but did get caught on the wrong side of the market in July, selling Calls into a significant market bounce, which resulted in their worst month since inception, -4.6%. However, when other option sellers struggled in August, Diamond was able to bounce back. Diamond ended the year with a small 2.5% return. But that was impressive, in our opinion, since many other option sellers struggled to be in the black for the year.
One of the formidable assets to Diamonds strategy is that it is not dependent on specific market moves, so they are able to participate in both up or down markets. They thrive on market volatility and will excel, in our opinion, if the spiky volatility of 2007 is not repeated in 2008 (not the case so far in Jan). Because of their stated goals for performance and drawdown, the trading strategies have predefined profit goals and risk exposure. Diamond is one of the few advisors one can successfully use notionalized funds with, affording you the opportunity to add more leverage should you choose. Coupling this CTA with other CTA's (use our portfolio builder) seems to enhance most portfolios, especially if you notionalize your funds in Diamond Capital.
Dighton Capital USA: performance / website
Dighton Capital followed up an impressive 2006 with another great year in 2007, posting a return of 32.9% after all fees, to earn honors as one of the top two performers at Attain Capital last year. But that success was not without some risk, in the form of volatility and drawdowns. Dighton did post a new max end of month drawdown in 2007 of -37%, and had several volatile months where the program was down intramonth between -15% and -35%.
Most investors think that volatility will revolve around the stock market and the option traders, but that is not the case. Dighton does not trade options, and mainly focuses on actual soft commodity markets, such as Coffee, Sugar and Cotton. But their style of holding onto a position, and scaling into a position as the market moves against them results in some wild swings.
We have come to see that Dighton seems to have a real knack for bouncing off of the 30% drawdown level - having seen nice returns after hitting that level on four separate occasions in the past one and a half years. Attain has notified several clients about this phenomenon, and some have set up Dighton accounts to catch the next "bounce" off of the 30% drawdown level. Their accounts are open, Dighton's management documents signed, and money ready to trade sitting in T-Bills earning interest - while all they have to do is say "Go!" the second we notify them Dighton has hit the 30% down level intramonth.
Over all, Dighton is definitely not for the faint of heart with its aggressive strategy. But there is a place for non option selling exposure to commodity markets, as well as a place for a discretionary trader of Mr. Mosieyev's talents if you can handle the volatility.
Financial Commodity Investments: performance / website
Stock Index option sellers were not the only ones who saw volatility cause problems in 2007, as spikes in commodity market volatility also put advisors such as FCI who sell commodity options to the test. There may have been no manager getting as much flak from his clients than FCI in 2007, after a short Wheat call position turned into a short Wheat futures position after the market rallied through FCI's sold option prices.
The same scenario surfaced in the Energy markets in October, and you had several investors asking if FCI knew what they were doing, letting the market get so close to their strike prices, as the intramonth DD approached -30%. But despite some nervous moments, FCI's portfolio structure of spreading their risk among several markets prevented the two bad trades from being catastrophic. The end result was losses of just -4.5% and -8.8% in Sep and Oct., not the best of news, but certainly manageable (and in fact less than their historical max DD on an end of month basis).
So while FCI did have admitted struggles in 2007, the fact that they ended the year with an enviable 6.2% return speaks to their strategy's strength. If a stock index option seller had two trades go through their strike prices, they would like have been out of business, but FCI's relatively small exposure on each trade gave them breathing room and allowed them to finish the year in the black despite the two bad trades.
FCI's portfolio of multiple commodity markets and lack of exposure to the stock index markets keeps it at the top of our recommended list, as it is providing diversification and won't be affected by stock market moves one way or the other. And while we would have preferred a 2007 return closer to 2006's 50%+, we have a lot of confidence in FCIs future performance after professionally working through two tough trades in 2007.
NDX Capital Management: performance1 / performance 2 / website
NDX Capital was a mystery for most of 2007 - as they basically put their hog based strategies on hold for the first seven months of the year due to the ethanol situation as well as stalled Chinese purchases of hogs. Their trading activity was very light and performance was mostly flat to down for the first half of the year, leaving many to wonder if they were even capable of achieving the types of returns they had earned in the past.
But NDX stated they would rather not trade than force trades in a bad market environment the entire time, an admirable trait, and true to their word trading activity resumed to more normal levels in August as their preferred environment resurfaced.
There was not enough time for large gains, but by the end of the year they not only made back the their 21.5% drawdown, but finished the year up 10.7% in the more aggressive Shadrach program. While earning back a 4.8% drawdown, and finishing the year up 3.6% in the more conservative Abednego program.
These returns are well below what NDX had done in the past, and we are just as interested as the rest of you to see if NDX can return to their impressive ways in 2008, or whether the market environment will prohibit them from being able to enter the trades they wish and lead to below average returns again. Either way, with NDX doing spread trades and focusing on the hog market only, this is a great diversification tool.
Raithel Investments: performance / website
Raithel's Target Volatility Trading program is an option selling CTA somewhat different than the other option sellers at Attain, in that they use strangles instead of naked options. This approach allows Raithel to put on a few more options than those advisors doing naked short sales, and provides some protection in the case of a big market meltdown.
But despite their slightly different approach, 2007 proved to be as tough of year for Raithel as it was for the other option selling CTA's, with losses in Feb, Mar, and July after just one losing month in the last 53 months coming into the year.
But even with the first half of the year testing their mettle, Raithel was able to post a strong finish and end the year with less than ½ of 1 % loss. In a year which saw many option sellers suffer big losses, that is a commendable number. Moving forward, Raithel's plan for Target Volatility is to continue utilizing their high volatility hedging strategy, coupled with the program's same analytical trading strategy they have used since the beginning. With an impressive track record spanning back to 2000, Raithel is worth a look.
Zenith Resources: performance1 / performance 2 / website
With only four losing months out of 85 since they started managing money in 1999, you can understand why Zenith developer Ed Padon considered 2007 a down year when he had 2 losing months. But as we've noted throughout this newsletter, the volatility spikes seen in 2007 were troublesome across the board for option sellers.
However, owing in no small part to Zenith's experience (and the fact that they sell options a little further out than most advisors), they ended 2007 with a very enviable 10.5% return in their Index Option program and 12.2% in their Diversified program.
While Zenith Resources Index Option program closed to new investors towards the end of 2006, they do on rare occasion accept new accounts through Attain. Existing Zenith investors are also allowed to add to their account, leaving us thankful so many Attain clients joined Zenith before they shut their doors. If you are lucky enough to be involved with Zenith, we think this one is a keeper and don't recommend dropping him in search of bigger returns, as Zenith is likely to earn a bit more this year with higher overall volatility. . If you would like to see if Zenith is accepting accounts, call us for details.
Zephyr Asset Management: performance1 / performance 2 / website
As noted above, it was difficult year for the bulk of option selling mangers due to volatility spikes in February and July, and Zephyr Asset's two programs were no exception. After returning 17.1% on the Aggressive and 13.0% on the Moderate in 2006 the programs ended 2007 down -.41% and -6.2% respectively thanks to the spike in volatility.
It is tough to see Zephyr suffer losses, as they have what looks to be a very strong strategy and are some of the nicest people in the business. But sometimes the market just doesn't go your way, and that is what we have seen out of Zephyr over the past 12 months. They have been, for lack of a better term, unlucky.
But with the accounts nearly back to equity highs coming into January (they have since fallen back with n Jan's volatility) and their Aggressive program's returns right in line with ACE and Raithel last year, it seems Zephyr did no worse than their peers, and should remain amongst your choices for a top option seller- while knowing that they are not immune to the dangers of option selling (volatility spikes).
Looking for a CTA review that wasn't included on this list. We researched and tested numerous CTAs in 2007, and would be happy to share our thoughts on any CTA you are considering. Call us at (800)311-1145 or email invest@attaincapital.com for a review of any CTA not listed above - or for more detailed information about the above CTAs.
Chart of the week: 2007 CTA Performance Overview (top 15 by '07 ROR)
PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS
| CTA Program | 2007 Return | 2007 Max DD | Comp RoR | Max DD | Since | Min Invest. (000s) |
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| Ascendant Asset Advisors - Strategic1 | 87.9% | 2.7% | 77.7% | 15.4% | 10/05 | 100 |
| Dighton Capital USA - Swiss Program | 32.9% | 36.9% | 56.4% | 36.9% | 7/03 | 100 |
| Attain Portfolio Advisors - Strategic Diversification Program | 28.3% | 6.3% | 11.6% | 9.6% | 05/04 | 1000 |
| CKP Finance Associates - LOMAX Program | 21.9% | 16.5% | 33.1% | 29.3% | 8/02 | 100 |
| PFG K3 Forex | 13.3% | 19.5% | 32.5% | 19.5% | 5/04 | 5 |
| Zenith Resources - Diversified Option Program | 12.2% | 4.9% | 17.5% | 4.9% | 2/05 | 100 |
| Walwood F/X | 12.2% | 4.9% | 13.2% | 33.9% | 2/01 | 100 |
| NDX Capital - Shadrach Program | 10.7% | 13.6% | 110.2% | 21.5% | 9/04 | 100 |
| Zenith Resources - Index Option Program | 10.5% | 3.7% | 23.7% | 3.7% | 12/99 | 100 |
| Cervino Capital - Diversified Options Strategy | 7.5% | 4.5% | 8.9% | 4.5% | 1/06 | 50 |
| Financial Commodity Investments Program | 5.5% | 12.9% | 36.1% | 16.3% | 7/04 | 100 |
| NDX Capital - Abednego Program | 3.6% | 4.8% | 43.7% | 4.8% | 9/04 | 100 |
| Diamond Capital - Option Trading Program | 2.6% | 4.7% | 12.2% | 4.7% | 3/01 | 100 |
| Crescent Bay Capital Management - PSI Program | 1.8% | 17.5% | 16.8% | 17.5% | 10/05 | 10 |
| ACE Investment Strategists | -0.3% | 28.3% | 43.6% | 28.3% | 10/01 | 50 |
*The performance numbers for both NDX programs are based on "Resetting" the account to $50,000 at the beginning of each month, and NOT reinvesting profits. This differs from the performance reported for all other CTAs listed, thus the above numbers are not a true "apples to apples" comparison. $50K invested into NDX earning 4% every month versus the same 4% return every month for another CTA would represent $2K in profits each month for NDX, versus $2K in the 1st month, then $2.04K in the 2nd, then $2.08K in the 3rd and so on for a traditional CTA who reinvests profits. Please contact us with any questions regarding this difference.
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2007 Managed Forex Program Annual Reviews: (listed alphabetically)
PFG Fit F/X: performance / website
The PFG FIT FX program is from Fitrol Investments and the PFG Managed FX Department. Fitrol is managed by Mr. Nicholas White a registered CTA and well respected veteran of the FX and commodity markets. In addition to the FX program Fitrol also offers both a trend following commodity program for institutional investors as well as a short term stock index program. PFG Managed FX has established a relationship with Mr. White that allows everyday investors to gain access to this program ($5k Min) that typically calls for a minimum investment of $1MM. This strategy is a short term intraday model that seeks o to identify and take advantage of short-term directional anomalies in Inter-bank currency pairs across the Spot FX markets. All trades are placed as day trades for the European & US market sessions and no positions are held overnight. The USD/CHF, USD/JPY & EUR/USD are the currency pairs most often traded.
2007 was the first year of negative returns for the FIT FX program. After posting positive returns of +6.0% in the first quarter the program lost money for the rest of the year finishing at -12.30% with a max end of month drawdown of -21.00%. According to the manager the increased volatility of August was the main driver of the poor performance although the quarter before that was a struggle as well. New risk measures designed to limit the number of trades and emphasize “higher probability” positions have been implemented and have helped improve performance more recently. Moving forward 2008 is a critical year for the FIT FX program as the market is not showing any signs of becoming any less volatile in the near future. Hopefully the strong finish to 2007 guided by the implementation of tight risk controls is a sign of good things to come.
PFG K3: performance / website
The K3 program is run by King's Crossing, a firm who manages over $215 Million. PFG Managed FX has established a relationship with King's Crossing that allows everyday investors to gain access to this program ($5k Min) that typically calls for a minimum investment of $1MM.
We were happy with the program's returns up until the 4th quarter, when the program incurred a new high drawdown percentage due to the extreme volatility of the US Dollar. The Q4 losses, teamed with most new investors getting involved during that period, left a sour taste in many K3 investor's mouths. But a managed forex investment should be viewed over the long term, just like any other alternative investment, and we hope one poor quarter doesn't scare many investors away from this promising program. As despite the Q4 losses and a poor December which saw them lose -14%, K3 still finished the year with an impressive 12.8% return.
When the dollar fluctuations return to a more normal volatility, we expect this very experienced trader to regroup and move on to new all time highs.
Walwood F/X: performance / website
The Wallwood FX managed currency program comes to us from Wallwood Consultants Ltd of London, England. Founded in 1998 by Mr. Mario Kelly and Mr. Daryl Swain the program uses a systematic approach to trading the currency markets. The system is a short to medium term trend follower that includes swing trading capabilities. Filters designed to detect choppy markets are also applied and help the system avoid periods of market congestion and choppiness.
In 2007 this program produced returns of 12.20% with a -5.10% max end of month drawdown. And while those returns are not overly glamorous, they are impressive given the struggles of many other FX CTA products we follow. It was also nice to see the program bounce back with positive returns after finishing the previous year in the red. Heading into 2008 we expect that this program will continue to find success despite turbulent market conditions. The fact that the managers where able to post profits during a very volatile 2007 speaks volumes about their risk management techniques and ability to stay out of harms way.
IMPORTANT RISK DISCLOSURE
Futures based investments are often complex and can
carry the risk of substantial losses. They are intended for sophisticated investors and are not suitable for
everyone. The ability to withstand losses and to adhere to a particular trading program in spite of trading
losses are material points which can adversely affect investor returns.
Feature | Week In Review | Chart of the Week |
Feature | Week In Review | Chart of the Week |
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IMPORTANT RISK DISCLOSURE
Futures based investments are often complex and can
carry the risk of substantial losses. They are intended for sophisticated investors and are not suitable for
everyone. The ability to withstand losses and to adhere to a particular trading program in spite of trading
losses are material points which can adversely affect investor returns.