(Harvest) What\u2026 How can two negatively correlated investments both by in positive territory for the year?<\/p>\n
With stocks back at all-time highs, one might think managed futures programs \u2013 you know, the poster child of performing during stock market crisis periods, would be sucking wind. After all \u2013 managed futures (SG CTA Index) posted gains of +7% back when stocks took a dive (falling -10%) in January-February, so you might think they would be down some ugly percentage while stocks have rallied back over 19.41%.<\/p>\n
But something funny happened on the way to turning in their asset class scorecard \u2013 managed futures found return drivers in metals, bonds, and even stocks themselves \u2013 to actually move to positively correlated with stocks right now \u2013 just five months after being negatively correlated to them. You can see the Attain Short Term Fund in the table up +13.75% on the year, at the same time stocks are up 7.75% on the year \u2013 all while having an all time correlation of -0.36 and seven-month correlation of -0.89.<\/p>\n