Managed Futures Account


DEFINITION of 'Managed Futures Account'

An account that is like a mutual fund, except that positions in government securities, futures contracts and options on futures contracts are used to manage the portfolio.

BREAKING DOWN 'Managed Futures Account'

Professional money managers known as "commodity trading advisors" look after managed futures accounts, deciding on their positions based on expected profit potential. Among other advantages, managed futures offer the potential for reduced portfolio volatility and the ability to earn profit in any economic environment. Managed futures have seen increased institutional use in recent years.

  1. Managed Account

    An investment account that is owned by an individual investor ...
  2. Clearing House

    An agency or separate corporation of a futures exchange responsible ...
  3. Futures Contract

    A contractual agreement, generally made on the trading floor ...
  4. Commodity Pool

    A private investment structure that combines investor contributions ...
  5. Advisor

    1. The person or company responsible for making investments on ...
  6. Volatility

    1. A statistical measure of the dispersion of returns for a given ...
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  1. What are managed futures?

    Managed futures are futures positions entered into by professional money managers, known as commodity trading advisors, on ... Read Full Answer >>
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  3. How liquid are Vanguard mutual funds?

    The Vanguard mutual fund family is one of the largest and most well-recognized fund family in the financial industry. Its ... Read Full Answer >>
  4. Which mutual funds made money in 2008?

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  5. Does OptionsHouse have mutual funds?

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