MANAGED FUTURES SERVICES

Wisdom Trading provides investors with diversified alternative investment strategies and managed account solutions.

What are Managed Futures Investments?

Managed Futures refer to commodity futures trading accounts actively managed by a registered Commodity Trading Advisor (CTA). Trading takes place in a segregated futures account that is liquid and transparent. CTA’s are regulated by the Commodity Futures Trading Commission (CFTC), and National Futures Association (NFA). Customer accounts are held with a registered Futures Commission Merchant (FCM) and protected by the Financial Safeguard System.

Commodity Trading Advisor (CTA)

Managed Futures Accounts are managed or traded by a Commodity Trading Advisor (CTA). CTAs are professional traders registered with the National Futures Association (NFA) to trade on behalf of investors. CTAs are regulated by the Commodity Futures Trading Commission (CFTC), and the NFA to safeguard the integrity of the derivatives markets, protect investors and ensure Members meet their regulatory responsibilities. CTAs manage accounts with a variety of strategies. Some employ a systematic approach using computerized trading systems to make buy/sell decisions while others use a discretionary trading style based on market knowledge or expertise.
CTA account minimums range from $5,000 to over $1,000,000.

Separately Managed Accounts (SMA) vs. Funds

CTAs can trade client funds through a separately managed account or pooled together as a fund. The strategy and performance are generally the same but there are a few major differences between the two account types. See comparison chart.

Managed Options
Separately Managed Account
Fund Investment LP
Daily Liquidity
Daily Liquidity
Daily Liquidity
Trading transparency
Trading transparency
Trading transparency
Commingled funds
Commingled funds
Commingled funds
Manager has custody of funds
Manager has custody of funds
Manager has custody of funds
Loss limited to investment
Loss limited to investment
Loss limited to investment

I am text block. Click edit button to change this text. Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut elit tellus, luctus nec ullamcorper mattis, pulvinar dapibus leo.