Advertisement
investing

This Low-Minimum, No-Load Managed Futures Fund Is Crushing the Market

A stronger dollar is among the trends helping Altegris Futures Evolution Strategy N.

With the markets in turmoil, alternative mutual funds are getting a chance to strut their stuff. One category worth a look is managed futures funds. Managers of these funds typically follow trends, betting that asset classes that are performing well will continue to gain and that those in decline will keep sinking. They do so by trading futures contracts (agreements to buy or sell a commodity or financial asset for a set price at a future date).

Altegris Futures Evolution Strategy N (symbol EVONX) is one of the few no-load futures funds with a low minimum ($2,500). It shined over the past year, beating Standard & Poor’s 500-stock index by 16 percentage points. “Trends that run and persist, such as the strengthening dollar, weakening euro and yen, and declining crude oil prices, have been great opportunities,” says Matt Osborne, co-president of Altegris Advisors.

Advertisement - Article continues below

Two firms that specialize in futures manage up to one-fourth of the fund’s assets. Because securing a futures contract usually requires less cash than the contract’s face value, Altegris can invest the bulk of its assets in bonds. DoubleLine, which runs Kiplinger 25 member DoubleLine Total Return (DLTNX), manages the fund’s bond portfolio to produce extra return beyond the gains (or losses) from the futures trading.

Advertisement
Advertisement - Article continues below

Like other managed futures funds, Evolution Strategy isn’t cheap. The fund’s expense ratio is 1.94%, though that’s slightly lower than the category average of 2.12%.

Advertisement

Most Popular

12 Tax Deadlines for July 15 (It's Not Just the Due Date for Your Tax Return)
tax deadline

12 Tax Deadlines for July 15 (It's Not Just the Due Date for Your Tax Return)

Between due dates for IRA or HSA contributions, paying estimated taxes and other deadlines, there's more to do by July 15 than just filing your federa…
July 10, 2020
65 Best Dividend Stocks You Can Count On
stocks

65 Best Dividend Stocks You Can Count On

These 65 Dividend Aristocrats are an elite group of dividend stocks that have reliably increased their annual payouts every year for at least a quarte…
July 8, 2020
Know Why Your Credit Score Changes: 9 Money Moves to Consider
credit & debt

Know Why Your Credit Score Changes: 9 Money Moves to Consider

Your credit score is a key indicator of your financial well-being and of the risk you pose to lenders. How good is yours?
July 10, 2020

Recommended

13 Best Vanguard Funds for the Next Bull Market
mutual funds

13 Best Vanguard Funds for the Next Bull Market

Optimistic that the bounce since March is indeed the start of the next bull market? Here are the 13 best Vanguard funds to help you make the most of i…
July 7, 2020
15 Best Fidelity Funds for the Next Bull Market
mutual funds

15 Best Fidelity Funds for the Next Bull Market

Investors looking to squeeze more profit from the next bull run can look to Fidelity funds for strong active management and tactical investments.
July 7, 2020
10 Stocks to Invest in the Health Care Revolution
healthcare stocks

10 Stocks to Invest in the Health Care Revolution

These companies are fighting disease and improving our standard of care.
July 2, 2020
Cash In With This Gaming ETF
Technology

Cash In With This Gaming ETF

Cash in on the video gaming craze with this fund.
July 1, 2020