Amongst the not so chaotic chaos amongst reaction for North Korea and Hurricane Harvey, Managed Futures posted its best month since February, up 2.04% in August. This just might be the winds of change Managed Futures has been waiting for. Multiple markets are now taking on consistent trends: Downtrend in the U.S. Dollar, Bonds Uptrend, with most of the precious metals trending higher. Put that all together and this environment could set Managed Futures for more months like August in 2017.
Long Only Commodities couldn’t string together two months of positive performance, down -7.68% on the year. Despite Stocks multi-day swings up and down from North Korea threats, $SPY still managed to finish off the month up 30 basis points. Finally, World Stocks remain on top, continuing to outpace other asset classes in 2017.
Source: All ETF performance data from Morningstar.com
Sources: Managed Futures = SocGen CTA Index, Cash = 13 week T-Bill rate,
Bonds = Vanguard Total Bond Market ETF (BND),
Hedge Funds= IQ Hedge Multi-Strategy (QAI)
Commodities = iShares GSCI ETF (GSG);
Real Estate = iShares DJ Real Estate ETF (IYR);
World Stocks = iShares MSCI ACWI ex US Index Fund ETF (ACWX);
US Stocks = SPDR S&P 500 ETF (SPY)
Article by RCM Alternatives
