Alternative Investment Strategies

MF Global’s Alternative Investment Strategies group provides access to the fast-growing alternative investments sector.

Alternative investments encompass a broad category of investment vehicles featuring a variety of asset classes, products, trading styles, and markets. Benefits of alternative investments include portfolio diversification, risk management, access to liquidity, transparency, low or neutral correlation to traditional asset types, and the opportunity for a wider range of returns over traditional long-only investment strategies.

Drawing on a long history of leadership in futures, an independent approach, and expertise in global alternative investments, MF Global  is uniquely qualified to provide access to superior alternative investment managers and alternative investment solutions. Alternative investment products, solutions, and futures funds are available in the following areas:

Managed Futures

MF Global offers access to managed futures and managed futures funds, or commodity pools, which are investment opportunities that use futures contracts to leverage the trading expertise of commodity trading advisors (CTAs1). These products have historically displayed very low correlations to traditional investments such as stocks
and bonds.

Institutional Capital Introduction

MF Global’s institutional sales professionals educate clients and provide introductions to a pre-screened, select set of professional futures managers (CTAs) and global
macro traders.

Investment Management Services

MF Global provides a portfolio of specialized services to investors including research, due diligence, and custom portfolio recommendations.

Common Characteristics of Alternative Investments
  • Focus on absolute returns rather than relative performance or asset growth
  • Historically low correlation to traditional asset classes
  • May employ leverage, derivatives, or other hedging techniques
  • Generally structured as limited partnerships, private or public funds
  • Investors pay management fees, typically 1-2% of assets, performance fees, typically 10-20% of profits

1 CTAs are individuals or firms registered with the Commodity Futures Trading Commission that receive compensation for providing investors advice on options, futures, and the actual trading of managed futures accounts.

To learn more about MF Global’s Alternative Investment Strategies group, click here to read our fact sheet.

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