Macro Diversified Program
Executive Summary
The MACRO DIVERSIFIEDmaximize its benefit to client portfolios by combining strong stand-alone returns with consistent portfolio downside protection. The strategy is based on insights in behavioral finance, and makes quantitative, short-duration, directional investments lasting from a few minutes to a few weeks in global liquid markets. The average holding period of a position is <1.5 days; the strategy is built on the principle that in the short term, market behavior is often dominated by psychology and emotion, rather than by rational analysis. Over 30 years of research into how cognitive biases affect financial markets have resulted in 60 trading systems, each extracting a unique source of alpha. Cognitive biases are triggered by market volatility, which is why the Program is consistently long realized volatility, and it is expected to perform particularly well in volatile market conditions. Another unique feature of this Program is its consistent negative correlation to equities (-0.3) and Fund of Hedge Funds (-0.3), and low correlation to CTAs (+0.2). It has a contrarian bias, combining core mean-reversion themes with momentum strategies. The program is very liquid and highly diversified on multiple levels, trading across multiple time frames. This Program is a rare 'true alpha' strategy, representing an attractive investment for investors seeking to enhance their performance and reduce downside risk The returns for the Diversified Program are pro forma through March 2016 and actual thereafter, based upon performance of the monthly offerings for the Program's offshore investment vehicles. Pro forma and actual returns are net of the fee and expense schedule in effect since April 2016 and the reinvestment of dividends. Returns do not represent the performance for any particular investor. Assumptions were made to apply the current fees and expenses over a historical period and may not have been realized had this fee schedule actually been in effect. Please contact Lisa@Niederhoffer.com to obtain the actual historical performance. An investment in the Program is speculative and involves significant risks. Investors may lose some or all of their investment. Investments are highly leveraged and performance may be volatile. The Program engages in futures and options trading, both involving substantial risk of loss. The investment manager has complete discretion over investments. Fees and expenses are high and may offset trading profits. A substantial portion of trades may take place on non-U.S. exchanges and markets subject to less regulatory oversight than U.S. exchanges and markets. A full discussion of risks is set forth in the applicable PPM. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.
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Disclaimer Info
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 may receive 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.
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