What is a CTA?
A Commodity Trading Advisor, or "CTA," is a professional money manager who trades futures and options contracts on the behalf of clients via limited power of attorney.

What is a CTA managed futures account?
A managed futures account is an account that a client opens in their own name and is managed by a Commodity Trading Advisor (CTA). The CTA is granted a limited power of attorney to make trades in the account following the CTA’s investment strategy or program. Accounts are individual but trades for all accounts are placed simultaneously.

How do I open a managed futures account?
First you must open an account with a futures commission merchant (FCM), after which you read and fill out the disclosure document for the CTA. The account is in your name and you are the only one who can take money out of the account or put money into the account.

Where is the money in my managed account kept?
The funds are held by the FCM you chose. At no time does the CTA have possession of the funds nor can the CTA move money into or out of the account. The CTA can only trade the account in a manner consistent with the designated program.

How easily can I access funds in my managed account?
You can access your funds at any time. We do ask that you notify us if you plan on taking money out of your account so that we can adjust your portfolio accordingly.

How do I track performance of my managed account?
Each month you will receive a statement from your FCM detailing the trades for the month, along with the beginning and ending value of the account.

Can I use retirement funds in a managed account?
Yes. In addition to an account at a FCM, you will need to open an IRA account with a custodial firm who allows managed futures accounts. Please contact us if you are interested in an IRA account and we can refer you to a custodial firm.

Are there any tax benefits to investing in managed futures?
Gains from trading futures (including managed futures) are taxed at a lower rate than stock market gains. Futures are taxed at a rate of 60% long term gains and 40% short term gains whereas gains on stocks that are sold within one year are considered 100% short term. Consult your tax advisor to determine how these potential benefits could affect you.

What markets does Kingsview Management focus on?
Kingsview Management primarily focuses on the most liquid futures markets. We feel very strongly that managers should stick to trading the markets they know and are experienced in. We have many years of experience successfully trading these liquid markets under a variety of different market conditions. Concentrating assets in one particular futures contract with a lack of diversification may increase the risk of investing.

For more information on managed futures please contact us today!

Trading in futures and options on futures involves substantial risk and is not suitable for all investors. Past performance is not necessarily indicative of future results. Before investing, read all risk disclosures including those provided in the Disclosure Document.