Managed Futures 101

In case you are not familiar with the managed futures, the following infographic would be beneficial for you. The infographic provides a visual explanation of the nature of managed futures, how they work and why do you need them. Managed futures are an investment based on futures contracts, similar to how mutual funds are an investment based on stocks and bonds. Futures contracts are an agreement to buy and sell commodities such as corn, oil or wheat. Back in them, their purpose was farmers to reduce their risk of price fluctuations. Most are bought and sold by speculators who are looking to potentially profit from price fluctuations. Nowadays, managed futures performance is non-correlated to the performance of the stock market, and is great for diversification. Read the full infographic below to learn more about managed futures and they might turn great investment for you. Source: http://www.managedfuturesinvesting.com/