The Clap
Managed futures ETFs are one of the strongest performing ETFs this year as investors look for alternative options for their portfolios.
The Deets
The KFA Mount Lucas Index Strategy ETF (KMLM) invests in futures contracts in commodities, currencies, and bonds and its benchmark is the KFA MLM Index.
KMLM
The KMLM is a hedging tool for equity, commodity, and bond risk as it generally holds an inverse relationship to those securities.
Why this Matters
The ETF has generated around 38% total return YTD, significantly higher than the S&P 500 which recorded -15.62% YTD.
Managed futures ETFs soaring high 🔮
