The days of long lock ups on hedge funds might be changing. There seems to be a growing trend of investors seeking more liquid and more transparent strategies.

Can these investors be blamed? Much of the interest in trading-oriented and trend following managers has come from a wide array of investor categories including family offices, pension companies and funds of funds.During the recent volatile markets, wealth advisors and consultants are finding it difficult to convince clients they should tie up their money for extended periods of time in alternative investment vehicles.

Add in the fact that these supposedly non correlated assets also were negatively effected. More so trend following and trading oriented commodity traders made double digit returns while virtually all other asset classes imploded. Depending on the amount of capital available investors can have managed accounts for their commodity trading. In all honesty, this is ideal as they are liquid… and fully transparent…and the commodity trading advisor only can give buy and sell orders.

The commodity trading advisor has no power over the movement of assets… ( NO Madoffs scams). More over, when you allocate to commodity trading advisors they look at a large basket of potential markets. There are always bull markets and bear markets. Direction up or down means nothing. The only thing that is important is that there are trends.

Investors have finally started to wake up that Buy and Hold only works in Bull markets. Investors have woken up that they want liquidity and transparency. The only strategy that offers this is commodity trading.

Andrew Abraham
www.myinvestorsplace.com

Andrew Abraham has been in the financial arena since 1990. He is a commodity trading ddvisor and co manager of a Commodity Pool. Since 1993 Andrew has been a proponent of quantitative mechanical trading programs. Andrew's major concern is not only total return on investment but rather the amount of risk that one would have to tolerate in order to achieve returns He focuses on developing quant models that encompass strict risk adherence and correlation. He has been a speaker at conferences as well as an author of numerous articles. Andrew has spent years researching ideas that have the potential to outperform indices as well as maintain fewer draw downs.

Visit Angus Jackson Partners (http://www.angusjacksonpartners.com) Contact: A.Abraham@AngusJackson.com (mailto:A.Abraham@AngusJackson.com)

© 2009 Copyright Andrew Abraham - All Rights Reserved
Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

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