Are CTAs boosting the markets? Not so fast.

Commodity Trading Advisors (CTA)

Institutions like Nomura, JPMorgan, Rabobank, and others closely watch Commodity Trading Advisors (CTA) funds’ activities. As Nomura’s analysts found, “understanding CTA strategies “can provide a strong edge in today’s highly systematized markets.” Given that they collectively move over $300 billion in assets (plus leverage) and at times act in concert, their trade flows can trigger … Read more