Investor resolve on CTAs tested as managed futures plunge again


Investors are facing a severe test of their new-found commitment to managed futures strategies after another dismal performance in October when CTAs lost an average of more than 4% in the month for the second time this year.

The EuroHedge mean average return for managed futures funds in October was down by around 4.3% in US dollar terms as the vast majority of CTA strategies once again found themselves on the wrong side of changing market sentiment.

Coming on top of a 5% average fall in June and a 4% loss in October 2011, the poor performance in