Managed Futures

Managed Futures are alternative investment programs designed to provide clients the ability to diversity beyond traditional assets.  Additionally, they provide the added benefit of reducing overall portfolio volatility and protection against strong market declines.

Commstock has developed its first proprietary trading system that uses algorithms to track the relative value ratio between soybeans and its two by products: soybean meal and soybean oil.  Real time data is used to calculate the relative value ratios.  Average ranges are updated daily to allow for long-term trends and changes to the underlying markets.  Historically, the relative value ratios follow a consistent pattern but occasionally fall out of their normal range.  When this happens, indicators are tripped, initiating trades.  Profitability of these trades is based on the theory that the ratio will eventually return back to its normal range.

If you would like to request information on the performance of this trading program as well as a risk disclosure document, please contact the office at 712-227-1110 or email at matthewdk@commstock.com.