Nice managed futures educational/promotional piece by Bruce Mumford of 2100 Xenon Group in FINalternatives today explaining how managed futures have looked in the post Lehman/post Madoff era.

A few highlights:

…Lehman and Madoff illustrated the need for the very best of what the managed futures industry has to offer, specifically transparency, liquidity, and uncorrelated returns.

…The Lehman Brother and Madoff events, along with the ensuing market mêlée reinforced the need for investors to construct portfolios that contain a diversified array of investment strategies with highly liquid and transparent elements. In 2008, many investors learned, with unfortunate consequences, that they did not fully understand the correlations of their various investments or the drivers of positive and negative performance in each asset class.

Click Here to view full Article:

As for 2100 Xenon and their fixed income program, they are one of the few CTAs (we would hope so with their focus being on fixed income) who has gotten on the short side of bonds during the recent sell off (rates higher). If this is the start of the much anticipated and awaited bond bubble bursting (a mighty big IF) – 2100 Xenon is well positioned to capitalize.